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brooklynite

(94,614 posts)
Thu Sep 17, 2015, 02:05 PM Sep 2015

Federal Reserve leaves US interest rates unchanged - live updates

Source: The Guardian

Federal Reserve says it will not raise interest rates

Here is an excerpt from the statement:

To support continued progress toward maximum employment and price stability, the Committee today reaffirmed its view that the current 0 to 1/4 % target range for the federal funds rate remains appropriate. In determining how long to maintain this target range, the Committee will assess progress--both realized and expected--toward its objectives of maximum employment and 2% inflation. This assessment will take into account a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial and international developments. The Committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen some further improvement in the labor market and is reasonably confident that inflation will move back to its 2% objective over the medium term.

The Committee is maintaining its existing policy of reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities and of rolling over maturing Treasury securities at auction. This policy, by keeping the Committee’s holdings of longer-term securities at sizable levels, should help maintain accommodative financial conditions.


Read more: http://www.theguardian.com/business/live/2015/sep/17/us-federal-reserve-interest-rate-decision-markets-janet-yellen-live

5 replies = new reply since forum marked as read
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Federal Reserve leaves US interest rates unchanged - live updates (Original Post) brooklynite Sep 2015 OP
Just got 3 breaking news banners from U.S. media BumRushDaShow Sep 2015 #1
This sounds like a scam to me saturnsring Sep 2015 #2
Thank goddess for this!! lark Sep 2015 #3
I'm afraid you've got it backwards. staggerleem Sep 2015 #5
With Oil at $48 and in a Glut bucolic_frolic Sep 2015 #4

BumRushDaShow

(129,162 posts)
1. Just got 3 breaking news banners from U.S. media
Thu Sep 17, 2015, 02:13 PM
Sep 2015

and of course the "mother country" beats them to the punch.

lark

(23,123 posts)
3. Thank goddess for this!!
Thu Sep 17, 2015, 02:44 PM
Sep 2015

I was worried they might increase the rates and stall the recovery. I'm sure banks are probably pushing them to do just that, so they can make more $$.

 

staggerleem

(469 posts)
5. I'm afraid you've got it backwards.
Thu Sep 17, 2015, 05:34 PM
Sep 2015

The banks are VERY HAPPY being able to borrow at near-0 rates, because they can take the cash they borrowed at 0.25%, and invest it in ANYTHING - even T-bills, which currently earn around 1%, give them a .75% profit, essentially risk free. Heck - it's FREE MONEY for them!

When money is freely available like this, and taxes are as low as they've been for the big earners, businesses DO NOT RE-INVEST! The executives just pay themselves better.

The banksters FEAR a rate rise - then they might actually have to WORK to make money!

bucolic_frolic

(43,202 posts)
4. With Oil at $48 and in a Glut
Thu Sep 17, 2015, 02:47 PM
Sep 2015

There is little reason to raise interest rates

We have a zero interest rate policy with falling growth rate

Zero Growth can't be far off

They've stripped incentive from the system, at least for workers

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