Fed FOMC Statement: Holds Rates Steady, Removes Easing Bias
The Federal Open Market Committee approved the following statement with a vote of 12 in favor and 0 against.
To support the Fed's dual mandate, the Committee decided to maintain the target range for the federal funds rate at 3.5% to 3.75%. The Committee reaffirms its policy of maintaining ample reserve levels in the banking system.
Despite some degree of uncertainty, partly attributable to the Middle East conflict, economic activity continues to expand at a solid pace. Productivity growth and capital investment are robust. Employment growth is keeping pace with the labor force, and the unemployment rate has changed little.
Inflation remains above the Committee's 2% target, partly due to supply shocks pushing up prices in certain sectors, including energy. The Committee is committed to achieving price stability.


