Fed's Plosser: New 'patient' Language On Rates Still Not Data Specific

In a statement, Philadelphia Fed President Charles Plosser explained why he dissented at Wednesday's Federal Open Market Committee, saying new language still stresses the passage of time, rather than being data specific. "While the expansion of the balance sheet ended in October, the forward guidance regarding the likely path of the federal funds rate has remained essentially unchanged since last March. By stating that the new language is consistent with prior guidance, the statement makes no change in forward guidance despite the significant economic progress. I do not view this as appropriately data-dependent policy," he said. Each of the regional presidents who dissented -- Narayana Kocherlakota, Richard Fisher, and Plosser -- have plans to step down that make the December vote their last.