The U.S. Federal Reserve left its benchmark interest rate unchanged on Wednesday, while signaling that borrowing costs could move higher later this year as policymakers grew increasingly concerned about inflation remaining well above the central bank's 2% target, Reuters reported.
According to Reuters, the Federal Open Market Committee (FOMC) maintained its policy rate as widely expected, citing a resilient labor market, steady economic activity and persistent inflationary pressures. The decision comes amid strong employment data, with the U.S. unemployment rate holding at 4.3%, reducing the urgency for any near-term monetary easing.
