•  
• Tweet
•  
•        Print
•  
•         Track Keywords
•  
• 

Bailey McCann, Opalesque New York:

The U.S. Federal Reserve will leave interest rates unchanged citing recent global market turmoil, according to a statement following a meeting of the Federal Open Market Committee.

On the indicators the Fed is following to determine when to raise rates the FOMC had this to say - "The Committee continues to see the risks to the outlook for economic activity and the labor market as nearly balanced but is monitoring developments abroad. Inflation is anticipated to remain near its recent low level in the near term but the Committee expects inflation to rise gradually toward 2 percent over the medium term as the labor market improves further and the transitory effects of declines in energy and import prices dissipate. The Committee continues to monitor inflation developments closely."

The FOMC said it will continue to assess progress "both realized and expected," toward its objectives of maximum employment and 2 percent inflation before changing rates.

"This assessment will take into account a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial and international developments. The Committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen some further improvement in the labor market and is reasonably confident that inflation will move back to its 2 percent objecti......................

To view our full article Click here