Federal Reserve Leaves Interest Rates Unchanged as ‘Inflation Risks’ Persist

The Federal Reserve left interest rates unchanged at their highest levels in 23 years as monetary policymakers have observed “a lack of further progress” toward the central bank’s 2 percent inflation target. Fed officials noted that the risks to accomplishing its dual mandate of maximum employment and price stability have shifted to a better balance over the past year. Still, the “economic outlook is uncertain,” and the policymaking Federal Open Market Committee is “highly attentive to inflation risks.” For now, rate-setting Committee members do not believe “it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward” 2 percent....