1st LD: U.S. Fed keeps interest rates unchanged at 5.25-5.5 pct amid continued inflation pressures


WASHINGTON, March 20 (Xinhua) -- The U.S. Federal Reserve on Wednesday left interest rates unchanged at a 22-year high of 5.25 percent to 5.5 percent as recent consumer data indicates continued inflation pressures.

"Inflation has eased over the past year but remains elevated," the Federal Open Market Committee (FOMC), the Fed's policy-setting body, said in a statement.

"The economic outlook is uncertain, and the Committee remains highly attentive to inflation risks," the committee said.

The committee reiterated that it does not expect it will be appropriate to reduce the target range "until it has gained greater confidence that inflation is moving sustainably toward 2 percent."

U.S. Consumer Price Index (CPI) in February sped up to 3.2 percent from a year ago, after slowing to 3.1 percent from a year ago in January, indicating continued inflation pressures, the Labor Department's Bureau of Labor Statistics reported last week.

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