The Federal Reserve, hoping to give another shot in the arm to the pallid recovery, announced it would launch a new round of a controversial bond-buying stimulus program. The central bank also further extended its pledge to keep short-term interest rates near zero, now through the middle of 2015.
The widely expected Fed actions, unveiled Thursday after a two-day policy meeting here, are aimed at driving down interest rates to boost investment and spending, thereby spurring economic growth and in particular the sluggish job market.
"The [policymaking] committee is concerned that, without further policy accommodation, economic growth might not be strong enough to generate sustained improvement in labor market conditions," the Fed said in a statement.
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