The Federal Reserve Keeps Interest Rates Low
The Federal Reserve today held its monetary policy with low interest rates, predicting that economic growth in the United States will continue at a moderate pace for several quarters.
After the two-day meeting of the Open Market Committee, the Fed noted that the reference interest rate will remain below 0.25%, as it is from December 2008, and has vowed to keep until the end of 2014.
Also, the Fed said in a statement that will continue the program, launched in September 2011, sales of Treasury bonds short term he had in his portfolio and acquisition of other longer term, a move that shows the market that interest rates will remain stable.
“The tensions in global financial markets continue to pose significant risks in the economic outlook,” the statement added.
According to the Reserve, rising oil prices and gasoline earlier this year, “affect inflation only temporarily.”
Category: Business News
