Fed frets less over world economy; June rate hike odds rise

The Federal Reserve kept its benchmark interest rate unchanged on April 27, 2016, citing slower growth in the US economy even as the labor market strengthensThe Federal Reserve appeared more optimistic about global economic conditions Wednesday as it kept interest rates unchanged, raising the possibility that a rate hike could come as soon as mid-June. The Fed cited slower growth in the US economy, despite further gains in the labor market, in holding the fed funds rate at an ultra-low 0.25-0.50 percent as expected. After a two-day review, the FOMC stuck to its stance that US monetary policy will tighten only gradually and gave no clear direction on future moves.

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