US Fed holds rate unchanged: Read full text from policy statement

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US Federal Reserve today announced that it has left its key interest rate unchanged as inflation pressure is easing a bit. The Federal Open Market Committee have though signaled one more rate hike this year. Here is the full text of the policy statement issued by the US Federal Reserve -- Recent indicators suggest that economic activity has been expanding at a solid pace.

Job gains have slowed in recent months but remain strong, and the unemployment rate has remained low. Inflation remains elevated. The US banking system is sound and resilient.

Tighter credit conditions for households and businesses are likely to weigh on economic activity, hiring, and inflation. The extent of these effects remains uncertain. The Committee remains highly attentive to inflation risks.

Catch live coverage on US FOMC decision here The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. In support of these goals, the Committee decided to maintain the target range for the federal funds rate at 5-1/4 to 5-1/2 percent. The Committee will continue to assess additional information and its implications for monetary policy.

In determining the extent of additional policy firming that may be appropriate to return inflation to 2 percent over time, the Committee will take into account the cumulative tightening of monetary policy, the lags with which monetary policy affects economic activity and inflation, and economic and financial developments. In addition, the Committee will continue reducing its holdings of Treasury securities and agency debt and agency mortgage-backed securities, as described in its previously announced plans. The Committee is strongly committed to returning inflation to its 2