Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
1,505,179,534 visitors served.
forum mailing list For webmasters
?
New: Language forums
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Federal Open Market Committee

   Also found in: Acronyms, Wikipedia 0.03 sec.
Federal Open Market Committee (FOMC)
The body that is responsible for setting the interest rates and credit policies of the Federal Reserve System.

Federal Open Market Committee (FOMC)
A policy-making committee within the Federal Reserve that has the responsibility for establishing and carrying out open-market operations. Policies and decisions of the committee have a substantial impact on interest rates and the securities markets. The FOMC is composed of the 7 members of the Board of Governors of the Federal Reserve System and presidents from 5 of the 12 Federal Reserve Banks. Also called Open Market Committee.

Federal Open Market Committee (FOMC). The Open Market Committee (FOMC) of the Federal Reserve Board meets eight times a year to evaluate the threat of inflation or recession.

Based on its findings, the 12-member FOMC determines whether to change the discount rate or alter the money supply to curb or stimulate economic growth.

For example, the FOMC may raise the discount rate, which the Federal Reserve charges member banks to borrow, with the goal of tightening credit and limiting inflationary growth. It may lower rates to encourage borrowing and economic expansion. Or it may take no action.

Changes in the discount rate result in virtually immediate changes in the short-term rates that banks charge consumers -- and each other -- to borrow.

The Federal Reserve Bank of New York implements FOMC decisions to alter the money supply. It buys government securities to put more money into circulation and loosen credit or it sells securities to take money out of the market and tighten credit.



How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Email
Feedback
Add definition
? Mentioned in ? References in periodicals archive
 
30-31 Federal Open Market Committee (FOMC) meeting.
The Federal Reserve Board and the Federal Open Market Committee released on August 30, 2005, the minutes of the Committee meeting held on August 9, 2005.
Further clues on the economy's strength can be expected on Tuesday when the Federal Reserve's Federal Open Market Committee meets to determine whether to lower interest rates even further.
 
Financial browser? ? Full browser
 
Federal Office for Information Security
Federal Office for Scientific, Technical and Cultural Affairs
Federal Office for the Environment
Federal Office of Civil Protection
Federal Office of Defence Technology and Procurement
Federal Office of Environment Forests and Landscape
Federal Office of Foreign Economic Affairs
Federal Office of Private Insurance
Federal Office of Public Health
Federal Office of Regional Development
Federal Office of Regional Development - Quebec
Federal Office of Rural Health Policy
Federal Office Systems Exposition
federal official
federal official
federal official
Federal Oil and Gas Royalty Management Act of 1982
Federal Old Age & Survivors Insurance
Federal Old Age and Survivors Insurance
Federal On Scene Coordinater
Federal On Scene Coordinator
Federal On-Scene Commander
Federal On-Scene Coordinators
Federal One
Federal Open Market Committee
Federal Operational Staging Area
Federal Operator 99
Federal Opposition (Australia)
Federal opposition australia
Federal opposition of Australia
Federal Order Administrator
Federal Pacific Electric
Federal Pacific Electric Company
Federal Palace
Federal Palace of Chihuahua
Federal Palace of Switzerland
Federal Parastatals of Nigeria
Federal Parent Loan for Undergraduate Students
Federal Parent Locator Service
Federal park ranger
Federal park rangers
Federal Parliament of Australia
Federal Parliament of Austria
Federal Parliament of Belgium
Federal Parliamentary Assembly
Federal Part Number
Federal Partners in Technology Transfer
Federal Partnership for Interoperable Communications
Federal Party
 
Financial Dictionary
?

Disclaimer | Privacy policy | Feedback | Copyright © 2009 Farlex, Inc.
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional. Terms of Use.