Reuters - Video

Edition: U.S. | U.K. | IN | CN | JP

Business

Fed worries about jobs and fiscal drag: statement

Wednesday, May 01, 2013 - 01:28

May 1 - The Fed stuck to its plan to buy $85B in bonds each month and reiterated unemployment is too high for policymakers' comfort, according to Reuters Correspondent Pedro da Costa at the Treasury lockup.

▲ Hide Transcript

View Transcript

And here's the treasury press -- the Federal Reserve has just delivered its interest rate decision. If that is sticking to its bond buying plan as expected can -- -- 85 billion dollars a month and purchases. However the Central Bank -- seemed to be laying ground work at least comparing the market for the possibility that that monthly amount might change. Alex leaving open the possibility that he could change in either direction. The statement said that the committee is prepared to increase or reduce the bases its purchases. To maintain appropriate policy accommodation that was is an addition to this statement otherwise the Fed's assessment of the economy is largely had changed its these labor market improving but. Still short of what policy makers would like to see it. Some analysts were. We're waiting for a potential site that is getting worried about inflation running through low they don't seem to be quite there yet despite recent readings that were. Well below defense inflation target. But really the message here is that that that is instead the issue goes mode and it. It will continue and his stimulus is needed now one of the novelties and state news that has really highlighted the -- school. Element of the economy signing of large tract Burma from the fiscal side I mean it's worried that the recent budget tightening in Washington. Could be taking its all. We'll see how that -- on the economy. Behavior during the summer but I wouldn't expect any change from the -- until at least August 4 share. For lawyers and -- accustomed.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Fed worries about jobs and fiscal drag: statement

Wednesday, May 01, 2013 - 01:28