Fed On Hold, Eyes December Rate Rise

By Glenn Dyer | More Articles by Glenn Dyer

As expected no change from the Fed this morning (Friday) and the US central bank remains on track to lift interest rates at its final meeting of the year in mid-December.

The Federal Funds Rates was left unchanged in a 2% to 2.25% range as the Fed left the core of its September statement unchanged.

“The Committee expects further gradual increases in the target range for the federal funds rate,” the statement said.

It said the risks to the economic outlook “appear roughly balanced.” And it said that inflation remains near its 2% target.

The only tweak in the statement was to note that the growth of business investment had moderated in the third quarter.

There were no new forecasts or dot plots (which shows where fed members think rates are moving to over the next one to three years). They will be issued after the December meeting.

Glenn Dyer

About Glenn Dyer

Glenn Dyer has been a finance journalist and TV producer for more than 40 years. He has worked at Maxwell Newton Publications, Queensland Newspapers, AAP, The Australian Financial Review, The Nine Network and Crikey.

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