The US Federal Reserve on Wednesday kept the benchmark interest rates unchanged, in line with the street estimates. The Fed Chair Jerome Powell-led Federal Open Market Committee (FOMC) unanimously voted to leave the Fed funds rate at a 22-year high of 5.25% to 5.5% after the two-day meeting held on September 19 and 20.
US Fed Reserve Policy: FOMC doubles US GDP growth projection to 2.1% for 2023
The US Federal Reserve announced its interest rate decision on September 20, after a two-day Federal Open Market Committee (FOMC) meeting and left the benchmark interest rates unchanged at 5.25 per cent – 5.50 per cent. Fed policymakers have raised the US gross domestic product (GDP) projection to 2.1 per cent this year, a notable upgrade from the 1 per cent growth projected in June, and expanding by 1.5 per cent next year. Fed Chair Jerome Powell-led rate-setting panel also updated the members’ forecasts for a range of economic indicators, from inflation to growth, as well as expectations of future interest rate policy.
US Fed meeting outcome: FOMC keeps rate unchanged- Read full text from policy statement
The US Federal Reserve today announced that it has left its key interest rate unchanged as inflation pressure is easing a bit. The Federal Open Market Committee have though signaled one more rate hike this year.
Here is the full text of the policy statement issued by the US Federal Reserve —
Recent indicators suggest that economic acitivity. has been expanding at a solid pace. Job gains have slowed in recent months but remain strong, and the unempolyment rate has remained low. Inflation remains elevated.
The US banking system is sound and resilient. Tighter credit conditions for households and businesses are likely to weigh on economic activity, hiring, and inflation. The extent of these effects remains uncertain. The Committee remains highly attentive to inflation risks.
