Fed Holds Rates Steady, Expects Economic Growth, Hiring, and Inflation to SlowJohn Carney 1 Nov 2023
Federal Reserve officials voted to leave the central bank’s benchmark interest rate unchanged, saying that it expects tighter financial conditions will weigh on economic activity, hiring, and inflation.
The Fed said on Wednesday that it would hold its benchmark rate at a range of 5.25 percent to 5.50 percent, the range it set at its July meeting and the highest since the Fed cut rates at the summer of 2007.
“Recent indicators suggest that economic activity expanded at a strong pace in the third quarter. Job gains have moderated since earlier in the year but remain strong, and the unemployment rate has remained low. Inflation remains elevated,” the Fed said in a statement announcing the interest rate policy. “The U.S. banking system is sound and resilient. Tighter financial and credit conditions for households and businesses are likely to weigh on economic activity, hiring, and inflation. The extent of these effects remains uncertain.”
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https://www.breitbart.com/economy/2023/11/01/fed-holds-rates-steady-despite-signs-of-rising-inflation-risks/