Federal Reserve foresees no interest rate hikes in 2019

WASHINGTON

The Federal Reserve left its key interest rate unchanged Wednesday and projected no rate hikes this year, reflecting a dimmer view of the economy as growth weakens in the United States and abroad.

The Fed said it was keeping its benchmark rate – which can influence everything from mortgages to credit cards to home-equity lines of credit – in a range of 2.25 percent to 2.5 percent. It also announced that it will stop shrinking its bond portfolio in September, a step that should help hold down long-term rates. It will begin slowing the runoff from its bond portfolio in May.

Combined, the moves signal no major increases in borrowing rates for consumers and businesses.