The Federal Reserve held interest rates steady Wednesday following several months of higher-than-expected inflation, with investors now not expecting a rate cut until months from now.
After a two-day meeting of its Federal Open Market Committee in Washington, D.C., the Fed announced that it will keep its rate target at 5.25% to 5.50%. The move was widely telegraphed.
Because of inflation proving sticky in the first part of the year, the timing for when the Fed might first cut interest rates has been consistently pushed back in recent weeks.
The Fed has held rates steady since last raising interest rates in July. The current rate target is still the highest it has been since 2006, before the global financial crisis.
The Fed’s goal is for long-run inflation to run at about 2%, a level that it considers healthy for the country’s economic growth. By
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