Some Federal Reserve officials pushed in August for a more aggressive response to the economy’s slowdown. They settled for a plan to keep rates near zero for another two years and won agreement to discuss more options at an extended meeting in September. Minutes of the Aug. 9 policy meeting released Tuesday show that Fed officials discussed a range of actions, including another round of Treasury bond purchases. Some Fed officials said a weaker economy called for such a step.
Fed officials in the end said they planned to keep rates low until at least mid-2013, assuming the economy remained weak. They also added a second day to their September meeting. That raised speculation that the Fed would announce some further action after that meeting.
