By www.CentralBankNews.info The Federal Reserve, the U.S. central bank, maintained its goal of buying long-term Treasury bonds and housing-related debt worth $85 billion a month along with its target for the federal funds rate at 0-0.25 percent, as expected, saying it “continues to see downside risks to the economic outlook.”
While the Federal Reserve’s policy-making body, the Federal Open Market Committee (FOMC) largely repeated its statement from March, it added today that it may either increase or decrease the amount of bonds it will be purchasing, depending of the state of the U.S. jobs market and inflation.
“The Committee is prepared to increase or reduce the pace of its purchases to maintain appropriate policy accommodation as the outlook for the labor market or inflation changes,” the FOMC said.
