Some economists have speculated the move could give the Fed the leeway to loosen monetary conditions further. Others say it could result in an unintended tightening.

The U.S. central bank may also adopt an explicit inflation target of around 2 percent or a bit below.

The following are recent comments from policymakers:

FEDERAL RESERVE GOVERNOR ELIZABETH DUKE*, January 16

"I do not believe that establishing an inflation target is inconsistent with a commitment to both parts of the dual mandate. On the contrary, it can help with thinking about and achieving both of our mandated objectives."

CHICAGO FED PRESIDENT CHARLES EVANS, January 13

"If we behave very aggressively, I think we could find improved economic performance one or two years faster than what we might ultimately be seeing if we don't take those actions."

ST. LOUIS FED PRESIDENT JAMES BULLARD, January 13

"The data has been stronger in recent weeks and months, and so I think there's probably a good case to stand pat for now...If the economy did deteriorate substantially in 2012, then I think (quantitative easing) would come back on the table, but that's not where we are right now."

RICHMOND FED PRESIDENT JEFFREY LACKER*, January 13

"Given the data I've seen, I'm still where I was a month or two ago when I said I didn't see a compelling case for further stimulus."

EVANS, January 11

"There is a natural tendency for policymakers to pull back on accommodation too early before the real rate of interest has fallen to low enough levels."

PHILADELPHIA FED PRESIDENT CHARLES PLOSSER, January 11

"Inflation most often develops gradually, and if monetary policy waits too long to respond, it can be very costly to correct...We need to proceed with caution as to the degree of monetary accommodation we supply to the economy."

KANSAS CITY FED PRESIDENT ESTHER GEORGE, January 10

"We'll have to see how the data continues to come in to make a decision about whether any further action is appropriate."

SAN FRANCISCO FED PRESIDENT JOHN WILLIAMS*, January 10

If inflation falls as expected, there is a "strong argument for going to, I think, purchasing more mortgage backed securities down the road."

CLEVELAND FED PRESIDENT SANDRA PIANALTO*, January 10

"While it is true that the federal funds rate has been near zero for some time, some economic policy models indicate that monetary policy should be even more accommodative than it is today."

ATLANTA FED PRESIDENT DENNIS LOCKHART*, January 9

"Steady even if unspectacular growth accompanied by inflation in the neighborhood of 2 percent justifies some reluctance to change, in either direction, the (central bank's) accommodative policy. ... At the same time, I think slow progress toward full employment justifies continuing consideration of whether more can and should be done."

WILLIAMS*, January 8

"Unemployment is going to be sustained above a reasonable estimate of the natural rate of unemployment, which is closer to 6.5 percent than the 8.5 percent that we have now. That does make an argument that we should have more stimulus."

ST. LOUIS FED PRESIDENT JAMES BULLARD, January 7

"I don't think (more bond buying)is very likely right now because the tone of the data has been pretty strong. ... We can probably wait and see for now."

DUKE*, January 6

"Policymakers should at least consider policies that take into account the role the GSEs (government-sponsored mortgage finance enterprises) could play in hastening the healing of the housing market rather than focusing entirely on minimizing losses to the GSEs."

BULLARD, January 6 (remarks to Bloomberg radio)

"We are very close to having inflation targeting in the

U.S."

BOSTON FED PRESIDENT ERIC ROSENGREN, January 6

"Given the low inflation rate and weak labor markets that are both likely to persist this year, I believe the Federal Reserve should continue to explore ways to promote more rapid recovery through stronger growth."

NEW YORK FED PRESIDENT WILLIAM DUDLEY*, January 6

"Because the outlook for unemployment is unacceptably high relative to our dual mandate and the outlook for inflation is moderate, I believe it is also appropriate to continue to evaluate whether we could provide additional (policy) accommodation in a manner that produces more benefits than costs, regardless of whether action in housing is undertaken or not."

FED CHAIRMAN BEN BERNANKE*, January 4

"Restoring the health of the housing market is a necessary part of a broader strategy for economic recovery."

(*denotes 2012 voting members of the policy-setting Federal Open Market Committee)

(Editing by Andrew Hay)