The US Central Bank has not changed the “Federal Reserve” overnight interest rate, which ranges from 0 to 0.25 basis points, according to the statement released yesterday by the Council’s Open Market Committee.
According to what was published by CNBC, the price that was approved yesterday is the same as the price approved by the committee in its previous statement, issued on the 10th of last June.
This price has been in effect since the date of the 15th of last March, at the beginning of the American and global economic crisis resulting from the new “Corona” outbreak.
Yesterday’s decision culminated in the meetings held by the Committee for two consecutive days. This move on the part of the “Federal Reserve” was highly expected in light of the coldness controlling the expectations regarding the improvement of the American economy, which was severely affected by the repercussions resulting from “Corona”.
The decision to maintain the interest rate was issued unanimously by the committee members. In addition to the decision, the committee also decided to extend liquidity swaps in dollars and the sale and repurchase of government temporary repo securities until March 31, 2021.
Yesterday’s statement did not differ much from the statement of the 10th of June, except in slight changes, the most important of which was the deletion of one phrase, “the virus and measures taken to protect public health that led to sharp declines”, and replaced it with the following phrase: “After sharp declines, economic activity and employment recovered To some extent in recent months, they remain below the levels they were at the beginning of the year. ”
The changes also included adding the phrase “the overall financial conditions have improved a lot in recent months”, instead of “the financial conditions have improved”.
Finally, today’s statement included a phrase that was not present in the statement of the 10th of June, which is: “The course of the economy depends greatly on the evolution of the virus.”
Follow the economic statement via Google News