Fed Holds Ground on Interest Rates Amid Global Uncertainty

The US Federal Reserve has maintained its target range for the federal funds rate at 3.5 to 3.75 per cent, keeping key monetary-policy marker unchanged for textile exporters and apparel manufacturers.

The committee's decision was made with a 9-3 vote in favor of maintaining ample reserves in the banking system, supporting the Federal Reserve's dual mandate.

Economic activity is expanding at a solid pace despite elevated uncertainty due to the conflict in the Middle East, according to the FOMC.

The committee noted that productivity growth and capital investment are strong, job gains have kept pace with the workforce, and the unemployment rate has changed little.