Economy News

 

Fed Shaves $10 Billion Off Monthly Stimulus

Fed Shaves $10 Billion Off Monthly Stimulus

(New York, NY) -- The Fed is easing back economic stimulus measures again. Federal Reserve policymakers announced today that the central bank will buy $65 billio dollars of securities a month, down from $75 billion.

It's the second round of tapering in consecutive Fed meetings. 

The Fed also said that it will keep key interest rates stable for the time being. The federal funds rate has been at a rock-bottom zero-to-a-quarter-percent for years in an effort to spur the economy. 

Federal Reserve policymakers expect the rate to remain that low until the unemployment rate declines below six-and-a-half percent. Earlier this month, the Labor Department said the national unemployment rate for December was six-point-seven percent.

 

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