Economics
Fed to Maintain Bond Buys Until ‘Substantial’ Economy Gains Seen
- Continues to signal rates on hold near zero through 2023
- Fed makes no change to composition, pace of asset purchases
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The Federal Reserve strengthened its commitment to support the U.S. economy, promising to maintain its massive asset purchase program until it sees “substantial further progress” in employment and inflation.
At their final meeting of a tumultuous year, policy makers led by Chair Jerome Powell on Wednesday voted to maintain monthly bond purchases of at least $120 billion and scrapped their previous pledge to keep buying “over coming months.”