The Federal Open Market Committee announced today that it would maintain the target range for the federal funds rate at 5.25-5.5%.
In its statement, the FOMC said that “The Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2 percent.”
Regarding the FOMC cutting rates, Federal Reserve Chairman Jerome Powell stated, “As the labor market has cooled and inflation has declined, the risks to achieving our employment and inflation goals continue to move into better balance.” Powell also added that “The second-quarter’s inflation readings have added to our confidence, and more good data would further strengthen that confidence. We will continue to make our decisions meeting by meeting.”
Read the Federal Reserve statement.
