The FOMC decided to lower the policy interest rate by a quarter percentage point and to conclude balance sheet runoff as of December 1.

Economic activity expanding at a moderate pace (1.6% GDP H1), job gains have slowed significantly, and downside risks to employment have risen.

Inflation has eased but remains elevated (PCE 2.8%); near-term risks to inflation are tilted to the upside.

With increased downside risks to employment, the balance of risks has shifted, prompting a step toward a more neutral policy stance.

A further rate reduction in December is not a foregone conclusion; policy is not on a preset course.

The committee has not made a decision about December and will be looking at incoming data, the outlook, and the balance of risks.