Fed keeps rate near zero but sees brighter economy in 2021
December 16, 2020
WASHINGTON (AP) — The Federal Reserve said Wednesday that it will keep buying government bonds until the economy makes "substantial" progress — a step intended to reassure financial markets and keep long-term borrowing rates low indefinitely.
The Fed also reiterated after its latest policy meeting that expects keep its short-term benchmark interest rate near zero through at least 2023. The Fed has kept its key rate there since March, when it took a range of extraordinary steps to fight the pandemic recession by keeping credit flowing.
In a series of economic projections Wednesday, thou...