The US Federal Reserve (Fed) has left a key interest rate without changes at the level of 4.25-4.50% per annum, as expected.
The Fed’s statement notes that the decision to maintain a bet was made by a majority of votes – 9 versus 2. Bowman and Christopher Waller voted against this decision, speaking out for reducing the rate by 25 basic points.
The statement emphasizes that the target range for the rate on federal funds was left at the level of 4.25-4.50% in order to support the achievements of the bank on key economic tasks.
They continue to influence data, the latest indicators indicate a slowdown in the growth rate of economic activity in the first half of the year. The unemployment rate remains low, and the labor market still demonstrates stability.
it also emphasizes that inflation remains slightly increased, and the uncertainty against economic prospects remains at a high level.
The decrease in interest rates was suspended in January
the federal reserve system for the first time in four years proceeded to reduce percentage rates in September Last year, against the background of progress achieved in the fight against inflation. Then the base rate was reduced by 50 basic points.
in November and December of the same year, the Fed continued to mitigate the policy and lowered the rate by another 25 basic points at each of the meetings. However, in January of this year, the regulator decided to suspend the cycle of reducing bets, interrupting a series of three consecutive meetings with a decrease.
In addition, at meetings in March, May, and June, the Fed has also no changes to the level of the key rate. In June 2022, inflation in the United States reached an annual level of 9% since 1981, but decreased to 2.7% in June of the current year.