Fed FOMC Statement: Holds Rates Steady, Emphasizes Inflation Fight
The Federal Open Market Committee (FOMC) approved the latest statement by a vote of 12-0, deciding to keep the federal funds rate target range unchanged at 3.5% to 3.75%.
The statement noted that to support the Fed's dual mandate, the Committee reaffirms its policy of maintaining ample reserves in the banking system.
Despite some uncertainty, partly related to the Middle East conflict, economic activity continues to expand at a solid pace. Productivity growth and capital investment are strong, employment growth is keeping pace with labor force growth, and the unemployment rate has changed little.
The statement also noted that inflation remains above the Committee's 2% target, partly due to supply shocks pushing up prices in some areas including energy. The Committee said it remains committed to achieving price stability.

