Fed leaves door open for rate hike
Strong labour market points to room for higher interest rates
Interest rates in the US are still on course to rise later this year as the Federal Reserve hinted at increased optimism over the labour market following its latest meeting.
Policy remains unchanged following the Federal Open Market Committee's (FOMC) July monetary policy meeting, with rates staying at 0–0.25% and asset purchases on hold, but a statement issued on July 29 was fractionally more upbeat about the labour market.
Language in the FOMC statements tends to change at glacial pace. The
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