Fed Holds Rates at Record Lows

The Federal Reserve is sounding a more confident note that the economy is strengthening and pledges to hold rates at record lows to make sure it gains even more traction. Wrapping up a two-day meeting today, the Fed in a 9-1 decision retained its pledge to hold rates at historic lows for an "extended period." Doing so will help energize the recovery, they say.

The Fed offers a more upbeat view of the economy, even as it notes that risks remain. It says the job market is "beginning to improve" and notes that consumer spending has "picked up." But both observations were brighter than when the Fed last met in mid-March. (More Federal Reserve stories.)