The United States Federal Reserve's Federal Open Market Committee (FOMC) revealed on Thursday that it decided to lower the federal funds rate by 25 basis points to between 4.50% and 4.75%.
In the monetary policy statement, the Fed said the "unanimous" decision corresponds to the current economic conditions in which the economy continued to expand at a "solid pace," and the labor market trends have overall softened. Although the unemployment rate has increased, the Fed sees it stable at a low level.
Additionally, the central bank indicated that inflation "has made progress" toward the 2% target level, and it considers it is still "somewhat elevated." The Committee stressed that the forecast for the economy is "uncertain" and it will be vigilant regarding the "risks" to meeting its employment and inflation objectives which are "roughly in balance."
