Federal Reserve’s decision: interest rate remained unchanged
The Federal Reserve released its interest decision in Wednesday:
- The Fed cut its monthly asset purchases by another $10 billion to $35 billion and kept the Federal Funds Target Rate between zero and 0.25 percent;
- The Fed pointed out that interest rates will remain unchanged for a considerable time after the Fed's asset purchase program ends;
- The Fed lowered its forecast for economic growth this year to a range of 2.1% to 2.3% from 2.8 to 3.0% previously;
- The Fed expect its interest rate to reach 1.2% by the end of 2015 and 2.5% by the end of 2016.
Fed Chair Janet Yellen said at the press conference on Wednesday:
- The U.S. economy will continue to expand at a moderate pace;
- The U.S. economy is continuing to make progress towards the Fed's targets of full employment and 2% inflation.