US Fed Holds Zero Interest Rate‥"Weak Economic Activity"

[Asia Economy New York=Correspondent Baek Jong-min] The U.S. Federal Reserve announced a rate hold after the Federal Open Market Committee (FOMC) meeting. There were no measures to defend against an economic downturn caused by delays in additional stimulus legislation.

[Image source=Reuters Yonhap News]

On the 4th (local time), the Fed stated in its announcement that it would "maintain the interest rate at 0% to 0.25%."

The Fed further assessed that "economic activity and employment remain at levels much lower than before the COVID-19 pandemic."

This is a negative evaluation of economic activity compared to the statement released by the FOMC in September, which mentioned that "economic activity has recovered in recent months," CNBC reported.

The Fed also revised its assessment of financial market conditions from "improved" in September to "accommodative."

Following the Fed's statement, the financial markets have shown little reaction. The New York Stock Exchange maintains gains in the 2% range, and the 10-year Treasury yield remains around 0.78%, similar to the previous day.

This content was produced with the assistance of AI translation services.