Wall Street has been waiting anxiously for a few days now to see what the Fed was going to do about the economy, and the answer arrived this afternoon: Nothing. For now. The Fed sees evidence that the economy has actually decelerated in recent months, reports MarketWatch, but it's not going to enter into new bond-buying or other such stimulus until the picture clarifies in the next month or two. Friday's jobs report might be the first indicator.
In Fed-speak: “The committee will closely monitor incoming information on economic and financial developments and will provide additional accommodation as needed to promote stronger economic recovery and sustained improvement in labor market conditions," said its official statement. The Wall Street Journal parses the wording and thinks the Fed "signaled more strongly" that it will eventually take action. The New York Times, too, calls the language "somewhat stronger" than past statements. (Read more Federal Reserve stories.)