The US Federal Reserve keeps interest rates steady, but signals one more increase in the rates by the end of the year.
The Fed also informed that,in October it would start to reduce its approx $4.2 trillion in holdings of US Treasury bonds and mortgage securities which were obtained after the financial crisis of 2008.
New economic projections which came out of Fed’s two day policy meeting showed that, 11 out of 16 officials found appropriate level for the federal funds rate, the central bank’s benchmark interest rate,in range between 1.25 and 1.50% by the end of 2017, or 0.25% points above current level.
