FED announces interest rate decision

The US Central Bank (Fed) did not change the policy rate within expectations, leaving it stable in the range of 0-0.25 percent.

The U.S. Central Bank (Fed), which markets were eagerly awaiting, announced its interest rate decision. At its first meeting of the year, the Fed did not change rates, leaving them stable in the range of 0-0.25 percent, while noting that it would be suitable to raise rates “soon”. In a statement, the Fed noted that indicators of economic activity and employment continued to strengthen.

In the statement it was noted that the sectors adversely affected by the new type of coronavirus (Kovid-19) epidemic had improved in recent months, also emphasizing that they had recently been affected by a sharp increase in cases of Kovid-19. The statement said that supply and demand imbalances related to the epidemic and the normalization of the economy continued to contribute to high inflation. The statement said the general financial conditions remained supportive, adding that the course of the economy continued to depend on the course of the virus. It went on to say, progress in vaccination against COVID-19 and easing of supply constraints were expected to support continued gains in economic activity and employment, as well as a fall in inflation