The Federal Reserve has dropped its pledge to be “patient” before raising interest rates, freeing its hand to lift official borrowing costs for the first time in nearly a decade.
The US central bank left its target range for short-term rates at zero to a quarter per cent, adding that it did not expect to pull the trigger on rate rises as soon as April, but opening up its options from June onward.
However, it also reduced its forecasts for growth and inflation and projections of interest rates, suggesting it may wait longer than June — the first date available for an increase.
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