The Federal Reserve has decided to keep interest rates unchanged at 0% to 0.25%.
This decision came as a surprise to some economists, who had expected the Fed to raise rates by a quarter-point. However, the Fed cited concerns about the economic impact of the COVID-19 pandemic as the reason for its decision.
The Fed’s decision is likely to have a number of implications for the economy.
- It will keep borrowing costs low, which could help to boost economic growth.
- It could also help to keep inflation in check, as low interest rates tend to make it cheaper for businesses to borrow money and invest.
- However, the Fed’s decision could also lead to a decrease in the value of the dollar, which could make it more expensive for Americans to buy imported goods.
Overall, the Fed’s decision is a sign that the central bank is still concerned about the economic outlook.
However, it is also a sign that the Fed is confident that the economy will eventually recover from the pandemic.
Kind regards E. Thompson.
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