Policymakers at the US Federal Reserve recently left interest rates near zero and repeated a vow to do what it takes to shore up the economy, saying the ongoing coronavirus pandemic will ‘weigh heavily’ on the near-term outlook and poses ‘considerable risks’ in the medium term.
"The Federal Reserve is committed to using its full range of tools to support the U.S. economy in this challenging time, thereby promoting its maximum employment and price stability goals," the US central bank said in a statement at the end of a two-day policy meeting held via videoconference because of the pandemic.Policymakers at the US Federal Reserve recently left interest rates near zero and repeated a vow to do what it takes to shore up the economy, saying the ongoing coronavirus pandemic will 'weigh heavily' on the near-term outlook and poses 'considerable risks' in the medium term. In a matter of weeks, over 26 million US citizens filed for unemployment benefits#
In a matter of weeks, the US economy has gone from historically low unemployment to seeing more than 26 million people file for unemployment benefits and the sharpest plunge in activity since the Great Recession.
With so much uncertainty around the economic outlook, the Federal Reserve said it expects to maintain the target range for its benchmark overnight lending rate "until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals."
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