KAKE - Money - Headlines

Fed Weighs Whether Economic Revival Program Should Be Slowed

By: Associated Press Email
By: Associated Press Email

Stay up-to-date with KAKE News:

Wednesday, June 24, 2009

The health of the economy is under examination by the Federal Reserve, as policymakers today conclude a two-day policy-setting session.

Economists predict the Fed won't take any major new actions aimed at helping the economy. But with signs that the economy may be improving, policymakers are considering whether some program intended to drive down rates on mortgages and other consumer debt should be slowed down. The worry is that the efforts could ignite inflation later on.

The Fed is expected to keep its key bank lending rate at a record low between zero and 0.25% and economists see it remaining there through the end of this year.

That would keep prime lending rates, used by banks to peg rates on home equity loans, certain credit cards and other consumer loans, at around 3.25%.


Comments are posted from viewers like you and do not always reflect the views of this station.
powered by Disqus
KAKE TV 1500 N. West Street Wichita, KS 67203-1323 (316) 943-4221
Gray Television, Inc. - Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 49007026 - kake.com/a?a=49007026