U.S. economy still needs help

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Thursday, August 01, 2013

The U.S. economy grew at only 1.7% in the April-June quarter.

The Fed’s statement suggested it’s too early to signal a pullback in its $85 billion a month in Treasury and mortgage bond purchases. The bond purchases have been intended to keep long-term interest rates down to spur borrowing and spending and invigorate the economy.

In a statement after a policy meeting, Fed policymakers slightly downgraded their assessment of the economy. They also noted that mortgage rates, which have helped drive home sales, have risen from record lows.

Read more at The Register-Guard.

 

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