Fed Cites Moderate U.S. Growth, Takes No New Action

WASHINGTON (AP) --€” The Federal Reserve says the economy is improving only moderately and still needs its support to help lower unemployment.

The Fed took no new action after a two-day policy meeting. It wants time to assess whether aggressive steps launched in September will boost growth and job creation.

The central bank says consumer spending was a little stronger, but business investment slowed. It also said inflation picked up slightly because of higher energy prices.

The Fed last month began buying mortgage bonds to try to push long-term interest rates lower and make home buying more affordable. It also said it plans to keep its benchmark short-term rate near zero through mid-2015.

The unemployment rate fell in September to 7.8 percent, the first time it's been below 8 percent since January 2009.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

DocumentId: 2073551, ~/Articles/ArticleHandler.aspx, 4/24/2014 2:07:27 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement