US Fed Has Left Interest Rate at 1-1.25%

The US Federal Reserve left its monetary policy unchanged, supporting the target rate for federal funds at the level of 1-1.25%. The bank also said that the reduction in the balance sheet will begin relatively soon and revised the forecast for the growth of core inflation.

Policymakers acknowledged that core inflation fell, and remains below the Fed's target of 2%. However, the Fed expects that the US economy will continue to strengthen despite downward trends in inflation.

The US dollar remained unstable against most major currencies after the Fed's decision. The dollar index fell to a 13-month minimum (93.69).