At its latest policy meeting on 9 August, the Federal Open Market Committee (FOMC) left the federal funds rate unchanged within the historically-low range of 0% to 0.25% set in December 2008. The FOMC also refrained from any further expansion of its asset purchase programme, commonly referred to now as QE3. The decision came in after stock markets around the world plummeted following Standard and Poor's decision on 5 August to cut the United States' credit rating a notch from AAA to AA+, which nevertheless represents the second best grade available. The FOMC, however, did alter its policy stance, stating that current conditions warrant exceptionally low levels for the federal funds rate at least through mid-2013. The move surprised the market, as most analysts expected the Fed to raise interest rates next year. Previously, the FOMC stated that interest rates would remain low for "an extended period?. In addition, the Fed confirmed that proceeds from maturing debt under its asset purchase programme will continue to be reinvested.
United States Monetary Policy
Fed bound to maintain current rates at least through mid-2013
August 9, 2011
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United States Economic News
United States: Clinton’s lead over Trump widens but presidential election results are still uncertain
October 20, 2016
Only a few weeks ahead of the 8 November presidential elections, major polls suggest that Hillary Clinton has extended her lead over Donald Trump, but the presidential race will be decided in the most fiercely contested states.
October 14, 2016
In September, nominal retail sales expanded 0.6% over the previous month.
October 7, 2016
Non-farm payrolls grew 156,000 in September, which came in below August’s upwardly-revised increase of 167,000 (previously reported: +151,000).
October 3, 2016
The ISM manufacturing index increased more than expected in September and returned to expansionary territory, after a temporary setback in August.
September 27, 2016
The S&P/Case-Shiller 20-city home composite index rose 0.6% in July over the previous month.