Fed touts economic recovery, vows to keep interest rates low | Malay Mail

The recovery, Powell noted, is expected to slow, requiring continued support from further government spending and, he said, the Fed, which is continuing to debate further actions including a possibly faster pace of bond buying. — Reuters pic

Underscoring the depth of disagreement, and the economic uncertainty that underlies it, the decision drew two dissents, one from a policymaker who thought it went too far, and the other from one who thought it didn’t go far enough. The new promise to “moderately exceed” 2 per cent inflation, he added, “should be a very powerful statement in supporting economic activity.”With about half of the US jobs lost since the crisis now recouped, and consumer spending about three-quarters recovered, the economy has come farther and faster than most at the Fed had thought just a few months ago.

The recovery, Powell noted, is expected to slow, requiring continued support from further government spending and, he said, the Fed, which is continuing to debate further actions including a possibly faster pace of bond buying. The new economic projections show that the Fed does not expect inflation to breach the 2 per cent target any time soon.

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Fed expected to raise economic forecasts, extend vow to keep rates low | Malay MailWASHINGTON, Sept 16 — The Federal Reserve is expected to wrap up its latest policy meeting today with somewhat rosier economic forecasts but a renewed pledge to keep interest rates low for as long as the world's biggest economy needs to recover from its deepest downturn in decades. The two-day...
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