US Fed keeps interest rates on hold

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The US Federal Reserve has kept interest rates ranging from 0.25% to 0.5%, the level it has held since December.

The Fed said, while conditions have improved, the central bank still expects inflation to reach 2%.

In a statement, the Fed said it will "closely monitor the actual and expected progress towards its inflation target," as he weighed when the next raise rates.

Most investors expect rates to remain on hold, and were looking for changes in the assessment of the economy by the Federal Reserve System.

In its statement accompanying today's decision, the Committee on the Federal Open Market pointed to the strengthening of the labor market and improvement of public spending as positive signs.

"Labour market conditions have improved even further growth of economic activity appears to have slowed," said the Fed.

The unemployment rate has fallen below 5% in Januar