Policy Makers Cite Sluggish Economy, Washington Gridlock in Standing Pat
By JON HILSENRATHand VICTORIA MCGRANE
Michelle Girard, RBS managing director and chief U.S. economist, joins the News Hub to gauge market reaction to the Federal Reserve’s move to keep its $85-billion-a-month bond-buying program in place.
Seeing a more uneven economic climate than they expected and the potential for fiscal discord in Washington, Federal Reserve officials got cold feet Wednesday and decided to keep their signature easy-money program in place for the time being.
The move, coming after Fed officials spent months alerting the public that they might begin to pare their $85 billion-a-month bond-buying program at the September policy meeting, marks the latest in a string of striking turnabouts from Washington policy makers that have whipsawed markets in recent days.