The Federal Reserve signaled Wednesday that it plans to keep a key interest rate at a record low for a considerable period because a broad range of U.S. economic measures remain subpar.
The Fed said it planned to keep its benchmark rate near zero as long as inflation remains under control, until it sees consistent gains in wage growth, long-term unemployment and other gauges of the job market.
The central bank retained language signaling its plans to keep short-term rates low "for a considerable time" after it ends its monthly bond purchases after its next meeting in October.
Stock prices rose after the Fed issued its statement at 2 p.m. Eastern time. Traders appeared pleased that the Fed seems in no hurry to raise rates. [Continue reading]