The Federal Reserve wrapped up its meeting in Washington today with a pledge to keep interest rates “exceptionally low” for an “extended period of time”. As such, the Fed voted to maintain the benchmark overnight lending rate between banks in a range of zero to 0.25 percent.
The Fed also released a statement noting that inflation will “remain subdued for some time” but overall, the economy is strengthening.
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Ã¢â‚¬Å“Household spending appears to be expanding at a moderate rate, though it remains constrained by a weak labor market, modest income growth, lower housing wealth, and tight credit,Ã¢â‚¬Â the Federal Open Market Committee said in a statement today after meeting in Washington. Ã¢â‚¬Å“Businesses are still cutting back on fixed investmentÃ¢â‚¬Â and Ã¢â‚¬Å“remain reluctant to add to payrolls.Ã¢â‚¬Â Deterioration in the labor market is Ã¢â‚¬Å“abating.Ã¢â‚¬Â
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