Fed leaves rates near zero
25 June 2009
U.S. Federal Reserve policymakers held rates near zero while highlighting fresh signs of economic stability.
The Federal Open Market Committee voted 10-0 to maintain the target federal-funds rate for interbank lending at a record-low range of zero to 0.25%. Furthermore, they reiterated that they're likely to keep rates at low levels for an extended period.
The discount rate for commercial and investment banks was also left unchanged, at 0.5%. policymakers reiterated plans to purchase a total of up to $1.25 trillion of agency mortgage-backed securities and up to $200 billion of agency debt by the end of the year. As previously announced, they plan to buy up to $300 billion of Treasurys by autumn.