Balance of Risks Statement(redirected from Balance-of-Risks Statements)
Balance of Risks Statement
A statement the Federal Open Market Committee issues after each meeting indicating members' thoughts on potential, future policy decisions. The risks to which the name refers are the risk of inflation (combated with higher interest rates) versus the risk of recession (combated with lower interest rates). The balance of risks statement gives analysts some insight into what the FOMC is thinking. The FOMC began issuing balance of risks statements in 2000.