Fed holds interest rates steady for third time

Federal Reserve headquarters

The Federal Reserve kept interest rates unchanged today, May 7, as widely expected, for the third consecutive time. The US central bank slashed rates by 100 basis points in the last three meetings of the previous year.

In its statement, the Federal Open Market Committee (FOMC) said that the unemployment rate has stabilized at a low level in recent months, and labor market conditions remain solid.

FOMC will continue reducing its holdings of Treasury securities and agency debt and agency mortgage‑backed securities. FOMC is strongly committed to supporting maximum employment and returning inflation to its 2% objective.