"The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run," the Fed said at the conclusion of the June meeting of its policy-making Federal Open Market Committee (FOMC). "In support of these goals, the Committee decided to maintain the target range for the federal funds rate at 5 to 5-1/4 percent."
But holding rates at this level will depend on forthcoming data, the FOMC said.
"In determining the extent of additional policy firming that may be appropriate to return inflation to 2 percent over time, the Committee will take into account the cumulative tightening of monetary policy, the lags with which monetary policy affects economic activity and inflation, and economic and financial developments," it added.