It was a subtly optimistic message that tempered otherwise hawkish projections that see the policy rate rising higher than market participants anticipated.
In fact, investors in contracts tied to the Fed's policy rate see the central bank delivering only one quarter-percentage-point increase by the end of the year.
They see about a 65% chance of a rate hike next month, up only slightly from before this week's meeting.
A dovish decision, a hawkish statement, and very hawkish dots," wrote economists at the analytics firm of Larry Meyer, a former Fed governor.
Fed officials at the median more than doubled their outlook for 2023 economic growth to 1%, from 0.4% in the March projections.
Persons:
Fed's Powell, Jerome Powell, Powell, Subadra Rajappa, Larry Meyer, Howard Schneider, Bansari Mayur, Chizu Nomiyama, Paul Simao
Organizations:
Federal Reserve, Societe Generale, Fed, Market, Nasdaq, Dow Jones, Wednesday, Thomson
Locations:
WASHINGTON, U.S