FOMC keeps the target for fed funds rate unchanged at 2.25% - 2.5% range

Following its 2-day meeting, the Federal Open Market Committee announced that it kept the benchmark interest rate unchanged at the target range of 2.25% - 2.5% in a widely expected decision. Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, is scheduled to deliver his comments on the monetary policy in a press conference at 19:30 GMT. 

Key highlights from the official statement (via Reuters)

• Fed keeps target interest rate at 2.25-2.50 pct, says will be patient as it determines what future adjustments to rates might be appropriate.
• Will continue to unwind balance sheet by forgoing reinvestment of up to $50 bln in maturing securities each month.
• Prepared to adjust any details for completing balance sheet normalization in light of economic and financial developments.
• Intends to continue implementing policy in which ample reserves ensures monetary control is primarily exercised through setting of Fed's administered rates and active management of reserves is not required.
• Sustained expansion of economic activity, strong labor market and inflation near target are the most likely outcomes.
• Statement drops language used in prior statement that had said committee judged some further gradual increases in Fed funds rate would be appropriate.
• Fed statement drops language used in prior statement that had said risks to the economic outlook were roughly balanced.
• Patience on rates is in light of global economic and financial developments and muted inflation pressures.
• Economic activity rising at a solid rate.
• Market-based measures of inflation compensation have moved lower but survey-based measures of inflation expectations are little changed.
• Prepared to use full range of tools, including altering size and composition of its balance sheet, if more monetary accommodation were needed than could be achieved with rate cuts.
• Fed vote in favor of policy was unanimous.

About the FOMC statement. 

Following the Fed's rate decision, the FOMC releases its statement regarding monetary policy. The statement may influence the volatility of USD and determine a short-term positive or negative trend. A hawkish view is considered as positive, or bullish for the USD, whereas a dovish view is considered as negative, or bearish.

About the FOMC economic projections. 

This report, released by Federal Reserve, includes the FOMC's projection for inflation and economic growth over the next 2 years and, more importantly, a breakdown of individual FOMC member's interest rate forecasts.