FOMC Statement and dot plot FED VOTES UNANIMOUSLY FOR FIRST RATE INCREASE SINCE 2023 FED: 16 OFFICIALS PROJECT AT LEAST ONE MORE RATE HIKE IN 2026 FED OFFICIALS SEE DEC 26, DEC 27 UNEMPLOYMENT OF 4.1%, VERSUS 4.3% PREVIOUSLY FED OFFICIALS SEE CORE PCE INFLATION OF 3.4% IN DEC 26, 2.5% IN DEC 27

FOMC RAISES RATES 25 BPS TO 3.75%-4%; VOTE 12-0 12 FOMC MEMBERS SEE RATES AT 4.1% BY END-2026 FED: HIKE WILL SUPPORT TIMELIER RETURN TO 2% INFLATION 4 MEMBERS SEE RATES AT 4.4% BY DEC, 2 SEE RATES AT 3.9% MEDIAN FED FUNDS RATE PROJECTION 4.1% AT END-2027 MEDIAN FED FUNDS RATE PROJECTION 3.9% AT END-2028 MEDIAN LONGER RUN FF RATE REVISED UP TO 3.2% FROM 3.1% HEADLINE PCE INFLATION REV UP A TENTH TO 3.7% FOR 2026 CORE PCE INFLATION REV UP A TENTH TO 3.4% FOR 2026 FED: GROWTH SOLID, INFLATION REMAINS ELEVATED