Federal Reserve holds rates steady

Updated 3/20/2025 7:19:00 AM
Federal Reserve holds rates steady

Arab Finance: The US Federal Reserve held interest rates steady at a range between 4.25% and 4.5%, according to a statement by the Federal Open Market Committee (FOMC) on March 19th.

The committee indicated that it would continue reducing its holdings of treasury securities, agency debt, and agency mortgage-backed securities.

As of April, the committee will slow the decline pace of its securities holdings by lowering the monthly redemption cap on treasury securities from $25 billion to $5 billion.

It will also maintain the monthly redemption cap on agency debt and agency mortgage-backed securities at $35 billion.

The decisions align with its commitment to supporting maximum employment and returning inflation to its 2% objective.

 

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