‘Outrageous’ used car prices amid highest inflation in 13 years

By Anneken Tappe, CNN Business

The Federal Reserve left interest rates and monetary policy unchanged on Wednesday, pointing at the incomplete economic recovery.

“The path of the economy continues to depend on the course of the virus,” the central bank said in a statement, adding that while vaccinations are helping to limit the virus and its impact on the economy, the risk to the economic outlook still remains.

The Fed, which each month currently buys Treasury securities worth $80 billion and mortgage-backed securities worth $40 billion, noted that the economy had made a lot of progress since this policy has been put into place.

“The Committee will continue to assess [the] progress in coming meetings,” according to the statement, hinting at the central bank getting ready to taper its asset purchases.

Meanwhile the Fed announced the establishment of two repurchasing, or repo, facilities, one for domestic markets and one for foreign and international central banks. The facilities will ensure the plumbing of the financial sector will function smoothly.

Fed Chairman Jerome Powell will hold a press conference at 2:30pm ET.

This is a developing story. It will be updated.

The-CNN-Wire
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