Fed keeps key interest rate unchanged, cites global threats
<p>FILE - In this Thursday, Sept. 24, 2015, file photo, Federal Reserve Chair Janet Yellen speaks on inflation dynamics and monetary policy at the University of Massachusetts, in Amherst, Mass. Yellen begins two days of congressional testimony on Wednesday, Feb. 10, 2016. <span style="font-size: 12px;">(AP Photo/Jessica Hill, File)</span></p>
WASHINGTON (AP) — The Federal Reserve is keeping a key interest rate unchanged in light of global pressures that risk slowing the U.S. economy. The Fed left open ended the timing of future rate hikes.
The central bank says the economy has continued to expand at a moderate pace but that global economic developments and financial markets continue to pose risks. Offsetting the threats, the Fed says a range of indicators point to additional strengthening in the job market. It sees some pickup in inflation.
Since raising its benchmark short-term rate from a record low in December, the Fed has held off on raising rates again given market jitters and a sharp slowdown in China.