more-inThe Federal Reserve has left its key interest rate unchanged at a time of solid economic gains but also heightened uncertainty surrounding the new Trump administration. The statement was not accompanied by updates to the Fed’s economic forecasts or by a news conference with Chair Janet Yellen, both of which occur four times a year. The Fed had driven down its key rate to help rescue the banking system and energise the economy after the 2008 financial crisis and the Great Recession. When it raised rates last month, the Fed indicated that it expected to do so three more times in 2017. Even though economic growth, as measured by the gross domestic product, was underwhelming last year, the job market appears close to full health.

Source: The Hindu February 01, 2017 19:30 UTC