The Federal Open Market Committee decided that the economy requires that it keep fund rates low, so it plans to stick with its target rate of 0% to 0.25% through 2014.
The Federal Reserve System also will stay with Operation Twist, which uses payoffs of mortgage bonds to buy more such bonds from federal agencies.
The FOMC issued a statement saying that it will monitor economic numbers, but it expects consumer spending – the backbone of the U.S. economy – to rise very gradually over the coming years.
From the article:
The Federal Open Market Committee said it will keep interest rates low at least through 2014 but will not yet act on further stimulus to a slow-growing economy. ...
