As expected, the Federal Reserve once again stood firm on the interest rate, while the markets and exchange traded funds seemed to like the news.
The key interest rate remained unchanged at 2%, reports Martin Crutsinger for the Associated Press. The benchmark prime lending rate will also stay at 5%, its lowest level since 2004.
Chairman Ben Bernanke said tight credit conditions, high energy prices and the continued contraction in housing will continue to weigh on U.S. economic growth.
Many economists believe that the rate will remain unchanged for the rest of the year.