Fed holds rate steady, cites “muted” inflation

The Federal Reserve left its benchmark rate unchanged on Wednesday, though it downgraded its assessment of the consumer spending that unpins about 70% of the U.S. economy. The Fed downgraded its assessment of household spending to “moderate” after describing it as “strong” in December. Policymakers reiterated their description of inflation as “muted,” and pledged to monitor economic developments.

Fed holds rate steady, cites “muted” inflation