The Federal Reserve has left the federal funds rate unchanged at 4.25% to 4.50% in a unanimous decision. Prior to the meeting, the CME FedWatch tool had assigned a 97.7% probability that the rate would remain constant. That probability was much lower at 61.5% a month ago, surging higher as positive economic data flowed in. The federal funds rate has now remained unchanged since December.
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Fed Keeps Rates at 4.25% to 4.50%
In a press release, the Federal Open Market Committee (FOMC) noted that the unemployment rate has stabilized to a low level in recent months while “Uncertainty about the economic outlook has increased further.”
In addition, the Committee believes that inflation remains “somewhat elevated” above its goal of 2%. In the meantime, the Fed will continue offloading Treasury securities, agency debt, and agency mortgage-backed securities.
Investors can keep up with other key economic data with TipRank’s Economic Indicators Dashboard.
