The Fed's Federal Open Market Committee released the following statement as part of the minutes from its October meeting:
"... while no decision had been made, it may well become appropriate to initiate the normalization process at the next meeting ... Members saw the updated language as leaving policy options open for the next meeting."
Despite some reservations about this wording expressed by "a couple of members", the updated language of the Fed's statement was all that the markets needed to conclude a December rate hike was now clearly on the cards.
Federal Reserve policy makers who are keen to delay an interest rate hike found themselves out of step with a majority of their colleagues at the Oct. 27-28 meeting of the Federal Open Market Committee. “The doves lost,” said Diane Swonk, chief economist at Mesirow Financial Holdings Inc. in Chicago.