The policy-making arm of the Federal Reserve has decided to keep interest rates steady in the target range of 0.75 to 1 percent.
The Federal Open Market Committee makes this decision based on the central bank's two goals of maximum employment and price stability, or inflation approaching its 2 percent objective.
"The committee views the slowing in growth during the first quarter as likely to be transitory and continues to expect that, with gradual adjustments in the stance of monetary policy, economic activity will expand at a moderate pace, labor market conditions will strengthen somewhat further, and inflation will stabilize around 2 percent over the medium term," the committee said.
The central bank kept the federal funds rate at zero from December 2008 to December 2015. At the Federal Open Market Committee meeting in December 2015, it raised rates to a quarter of a percentage point, then raised it again to a range of 0.5 to 0.75 percent in December 2016. At the last meeting in March, it raised the target range again to 0.75 to 1 percent.
The committee said it will continue to monitor labor market conditions, inflation indicators, and financial and international developments to decide the future of monetary policy.
