Fed says economic outlook worse than expected

(Really? And I thought things were going so great...but...but what about the recovery? It's not worse than I expected. We're a little way from there, yet. Hey, here's an idea for a stimulus plan: give the money to US! To "we the people" who need to pay our bills! That'll stimulate the econom more than giving it to bankers or giving tax cuts to rich fucks.--jef)

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US Fed says economic outlook worse than expected

By Agence France-Presse | Wednesday, July 14th, 2010

Facing a worse-than-expected outlook for US growth and unemployment, the Federal Reserve has floated the idea of new measures to spur economic recovery, according to minutes published Wednesday.

Details from the Fed's latest rate-setting meeting, held in June, showed the central bank expected US growth to slow to 3.0-3.5 percent this year, well down from previous estimates.

Noting that the recovery continued at a "moderate pace," members of the Federal Open Market Committee -- which sets interest rates -- said that a worsening outlook could prompt debate over further stimulus.

"The committee would need to consider whether further policy stimulus might become appropriate if the outlook were to worsen appreciably," the minutes said.

The Fed also raised its end-of-year unemployment forecast to 9.2-9.5 percent, predicting the troubled labor market would recover more slowly than expected.