Fed: Rate Unchanged, Economy Stabilizing But Still Weak, Inflation To Remain Low
The Fed Reserve's Open Market Committee policy statement was released moments ago and, as expected, the Fed's key banking lending rate unchanged in the 0 to .25 percent range.
The committee said that the economy is showing signs of "leveling out" since June and that conditions are "improving" in the financial markets.
Household spending has stabilized, but remains constrained by high unemployment, continued drops in housing prices and "sluggish income growth."
Inflation remains "subdued" for some time, the Fed said, and prices should remain stable.
The Fed said it plans to keep its key lending rate unchanged for "an extended period."
You can read the Fed's entire statement by clicking here.
The market has been rallying all day in anticipation of this statement.
Since the release of the statement, the markets have moved upward slightly.
August 12, 2009; 2:18 PM ET
Categories: The Ticker | Tags: FOMC, Federal Reserve
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