Federal Reserve not yet confident enough to cut rates, but cites progress

(Sharecast News) - Central bankers in the U.S. said they were closer now to achieving both their goals, for full employment and inflation stability. However, it was still not confident enough that inflation was shifting back down to 2% on a sustainable basis.

Until it was, the Federal Open Market Committee, which was the Federal Reserve's main policy organ, said that it probably should not cut rates.

The committee members also said that the Fed would continue shrinking its balance sheet at the same pace.

In response, as of 1921 GMT the yield on the policy-sensitive two-year U.S. Treasury note was trading seven basis points lower at 4.258%, having earlier hit 4.192%.

Wall Street 's main market gauges were also bumping along their session lows ahead of the start of Fed chairman Jerome Powell's press conference at 1930 GMT.

-- More to follow --