The Federal Reserve Bank's Open Market Committee left the target federal funds rate at 5.25 percent this afternoon.
"Recent indicators have suggested somewhat firmer economic growth," the Fed said in a statement, "and some tentative signs of stabilization have appeared in the housing market. Overall, the economy seems likely to expand at a moderate pace over coming quarters."
Ever cautious, the Fed noted that the the risk of inflation is still present given the economy's "high level of resource utilization," which could lead it to raise rates as 2007 progresses.
Last updated: Jan 31, 2007
MIKE HOFMAN was previously editor of Inc.com and a deputy editor at Inc. magazine, which he joined in 1996. The site was nominated for a National Magazine Award for Digital Media in 2010, and was named the best business website by Folio Magazine. In 2006, Hofman was part of a team of writers nominated for a Webby Award for best business blog. He lives in New York City. @mikehofman