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What is the FOMC?
The Federal Open Market Committee (FOMC) is a committee consisting of representatives from the Board of Governors of the Federal Reserve System and five regional reserve banks. The primary purpose of the FOMC is to determine national monetary policy by setting short-term interest rates, which affect borrowing costs and ultimately influence economic activity. It also oversees open market operations, which are used to buy or sell Treasury securities in order to add or remove reserves from the banking system. The FOMC meets eight times per year, at least four times in Washington D.C., and four times at one of its regional reserve bank offices.
