Despite the upward progression of the U.S. economy since the 2008 market crash, the Federal Reserve released their decision this Thursday to leave interest rates unchanged. In a 9-1 vote, they decided to keep the rates in zero to 0.25 range.
In a statement made after the meeting, the Fed stated, “The committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen some further improvement in the labor market.” Fed chair Janet Yellen also explained their decision is based on the “heightened uncertainties abroad,” including China’s current economic instability.
If the Fed does decide to change the rates in a future meeting, people can be expected to see an increase in their credit card interest rates, an increase in mortgage rates unless fixed, more interest paid in the savings account, and a possible slowing in hiring for the job market.
