The Federal Open Market Committee held the fed funds rate target at 0.25% to 0.50% at its latest meeting, according to the statement released after its two-day meeting concluded Wednesday.
Federal Reserve Bank of Kansas City President Esther George and Federal Reserve Bank of Cleveland president Loretta Mester again dissented, seeking a 25 basis point increase in the rate. Federal Reserve Bank of Boston President Eric Rosengren voted with the majority after dissenting at the prior meeting.
The panel said labor markets continued improving, with "solid" increases in jobs created, and economic activity strengthened since its last meeting. Inflation rose since the last meeting, the FOMC statement noted, but remains below the 2% target, "partly reflecting earlier declines in energy prices and in prices of non-energy imports."
While "the case for an increase in the federal funds rate has continued to strengthen," the FOMC "decided, for the time being, to wait for some further evidence of continued progress toward its objectives."
