FOMC Assignment:

1.Visit the Federal Open Market Committee website to access the statement, press conference, minutes, and projection materials needed to complete the assignment below.

2.Summarize the action, if any, taken by the FOMC to the following statements/questions from the FOMC meeting held June 14th and 15th, 2016. The FOMC Statement is normally released at 2:00pm Eastern Standard Time on the 15th.

a.What was the rationale of the FOMC for taking this action?

b.What was the immediate effect of the announcement on the following:

i.Dow Jones Industrial Average (report on how the DJIA reacted immediately before and after the announcement).

ii.Record the DJIA close the day before and the day after the announcement.

iii.Report on and record how the interest rates of the following were impacted before and after the announcement:

1.3-month Treasury Bill Yield

2.10 year Treasury Note Yield

3.How does the policy differ from the previous FOMC meeting?