Fund manager reaction: Where now for rates after Fed hold?

Global concerns weighed on decision

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Industry commentators have responded to the Fed's 'dovish tone' as it decided to keep rates on hold in September, but said a December rise still looks the most likely option.

The Federal Open Market Committee (FOMC) decided not to raise interest rates this month, as global headwinds overshadow a stronger domestic picture. Following its two-day September meeting, the FOMC voted by 9 to 1 to keep rates on hold, in a move anticipated by markets. The Federal Funds Rate has been kept on hold at 0-0.25% since the darkest days of the financial crisis in December 2008. However, the FOMC decided now was not the right time to raise rates as concerns over the impact of a global economic slowdown outweighed a healthier picture for the US domestic market. In a st...

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