Fed holding off on taper

Citing rising mortgage rates and an unstable economy, the Federal Reserve said that it’s holding off on its decision to pull back on its bond-buying activity.

“Household spending and business fixed investment advanced, and the housing sector has been strengthening, but mortgage rates have risen further and fiscal policy is restraining economic growth,” the Fed said in a statement.

Many, including Inman News columnist Lou Barnes, had expected that the Fed would begin tapering today. U.S. and global bond markets have been highly reactive to the Fed’s taper talk.

“This is incredibly wimpy,” David Kelly, chief market strategist at Morgan Stanley, told CNBC.

Source: CNBC and Federal Reserve