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The US Federal Reserve Board decided on Wednesday to keep interest rates unchanged, within a range of 3.75 to 4 percent, amid persistent inflationary pressures and uncertainty stemming partly from the war in the Middle East.
This was stated in a statement by the US Federal Reserve (the central bank) following a two-day meeting, and the decision was in line with market expectations.
The decision comes in contrast to repeated calls by US President Donald Trump to lower interest rates, as he said weeks ago that the United States should have the lowest interest rates in the world.
The statement noted that the Federal Open Market Committee approved the decision by a majority of 10 votes to 2 against.
It considered that inflation remains at high levels, and that the accumulation of more data will help the committee determine the appropriate monetary policy path to ensure that inflation returns in a timely manner to the committee's target level of 2 percent.
The committee, according to the statement, affirmed its commitment to achieving price stability.
Last September, the US Federal Reserve decided to raise interest rates by 25 basis points, to a range between 3.75 and 4 percent, in the first increase in more than 3 years.
Global markets are witnessing volatility in light of escalating military tensions and rising oil prices as a result of the American war on Iran, amid fears of the impact of energy costs on inflation rates and the path of US monetary policy.
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