The Federal Reserve left its policy rate unchanged at 1.5-1.75 per cent and indicated that it had no plans to make any more changes in 2020.
After a two-day meeting in Washington on Wednesday, policymaker predictions for the likely future path of the Fed’s policy rate showed a decisive shift toward a more accommodative path over the next three years.
In September, when the Fed last published its predictions, the median policy rate proposed for 2022 by participants in the Fed’s Open Market Committee was 2.4 per cent. That has dropped to 2.1 per cent.
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