Interest rates came unchanged at the levels of 5.25-5.50%, and the Fed indicates the lack of further progress on inflation.
The highlight of the statement of the Federal Commission today was:-
- Economic activity continued to expand at a strong pace.
- The statement also stated that the job gains remained strong compared to the previously strong.
- Inflation has been described as still high.
The statement added another line to say that in recent months there has been a lack of further progress towards the inflation target set by the committee at 2% levels.
The committee considers that the risks to achieving employment and inflation targets have moved towards a better balance over the past year.
The committee also does not expect that it will be appropriate to cut interest rates now until it gains greater confidence that inflation is moving sustainably towards 2%.
The market was pricing in a 30 basis point cut before the FOMC statement.
Chairman Jerome Powell will speak at the press conference at 9:30 pm Egypt time.
