Fed holds back on raising target rate

Federal Reserve Chairman Ben Bernanke says the Fed will likely hold down its target interest rate long after it winds down its stimulus program, reports Bloomberg.

It adds Bernanke signaled the bank may also stand pat on rates after unemployment falls below 6.5%—the previous benchmark given for raising the rate.

Further, the outlet finds, “Policy makers are debating how to slow the pace of asset purchases without causing a surge in interest rates that could jeopardize the more than four-year economic expansion.” Read more.

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