Interest rates will remain at 3.75-4 percent following an increase earlier in the fall.
The Federal Reserve announced its decision to keep interest rates at 3.75 to 4 percent after its meeting this week. The central bank issued a 0.25 percent rate increase last month. The Federal Open Market Committee (FOMC) noted that inflation “remains elevated,“ but that “Job gains have kept pace with the workforce, and the unemployment rate has changed little.”
FOMC stated, “The Committee decided to maintain the target range for the federal funds rate at 3-3/4 to 4 percent, in support of the Federal Reserve’s dual mandate. The Committee is continuing its policy of maintaining ample reserves in the banking system.”
Chair Kevin Warsh refused to hypothesize about the Fed’s next moves, stating, “Getting policy right involves assessing near-term developments at timely, regular and information-rich intervals, but it’s equally important we reserve time and space as an intellectually diverse group for strategic deliberations, for thinking anew about big questions, looking out over longer time horizons.”
As the Lord Leads, Pray with Us…
- For Federal Reserve Chair Warsh as he heads the FOMC and its interest rate determinations.
- For the members of the committee as they continue to assess the economy and discuss how to navigate inflation.
- For President Trump and officials in his administration as they seek to strengthen the nation’s economy.
Sources: Fox Business, Townhall, The Federal Reserve, CNBC
