The Federal Reserve has announced in a widely expected decision that it is keeping US interest rates unchanged at 5.25 per cent.
The central bank has held its short-term fed funds rate at 5.25 per cent since June of 2006 in a bid to ward off inflationary threats.
The Fed's policy makers opted to hold mortgage interest rates steady despite mounting concerns about the distressed housing and mortgage markets caused by the unravelling sub-prime home loan market and a related credit squeeze.
- AFP
