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CARE Ratings Research Report
The U.S. Federal Reserve’s Open Market Committee unanimously decided to keep the federal fund rate unchanged at 0–0.25% and continue with its sizeable asset purchases program.
The Committee asserted that it will be appropriate to maintain the policy rates in this target range until labour market conditions are consistent with the assessment of maximum employment and inflation is moderately above 2% for some time and averages 2% over time and long term inflation expectations remain anchored at 2%.
It also expects to maintain an accommodative stance until these outcomes are achieved.
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