Interest rate

The Federal Reserve says it doesn’t expect to raise interest rates in the U.S. until late 2014. The surprise move sent the dollar sharply lower in markets, and caused U.S. government borrowing costs to fall. In its regular policy statement, the central bank says that it sees “significant downside risks” to the economy, and said […]

The Federal Reserve announced its plan on Wednesday to keep short-term interest rates near zero through late 2014. The move signals that the Fed does not expect the economy to fully recover over the next three years. With unemployment still running high, the Fed expects the economy to expand between 2.2 and 2.7 percent over […]

After a wild and volatile day of trading, the stock market experienced its largest single-day gain yesterday since May 2010 as investors responded to the Federal Reserve’s announcement that it will keep interest rates at a record low “at least through mid-2013.”

In the wake of Standard and Poor’s decision to downgrade the U.S. credit rating, and an economy still struggling to keep its head above water, the Federal Reserve decided  yesterday  to keep the nation’s interest rate close to zero through 2013. The rate has been static for the past two years. The response on Wall Street seemed […]