The Federal Open Market Committee announced that it voted unanimously to keep its target for the federal funds rate at 2.00%. The Committee, however, acknowledged that risks to growth were of significant concern, strains in financial markets have increased significantly, labor markets have weakened in recent months, and economic growth appeared to have slowed recently. More from Bloomberg...
In other news, after rising 0.8% in July, the Consumer Price Index fell 0.1% in August, matching the estimate. The core rate, which excludes food and energy, was up 0.2%, also in line with expectations. Year-over-year, the headline rate is up 5.5% and core inflation is up 2.5%.
