Banks are expected to keep “slightly” elevated cash rates through mid-December as they wait for the Federal Reserve to take action on a new round of quantitative easing.

Key points:The central bank has said it would like to have more time to consider its policy responsesThis could be before the end of the yearIt could lead to a slowdown in the economy if there is no action soonThe Federal Reserve has said the pace of QE is “critical” but it has not set a target yet.

But it has said its goal is to reach full employment by the end.

“The central banks interest in reducing short-term interest rates and increasing longer-term rates in the medium term is critical to the health of the U.S. economy,” the Fed said in a statement on Wednesday.

“These rates are key to ensuring that we are not heading toward an adverse future for the U and our economy.”‘

A key tool’The Fed said the central bank’s focus is on “lowering short- and long-term unemployment, which is the most important determinant of economic health and growth”.

“The rate of unemployment in the United States has been steadily falling for a few years, but the recent increases in unemployment and the ongoing rate increases have significantly contributed to the recent economic and financial problems in many parts of the country,” the statement said.

“As such, it is critical that we continue to increase the pace and duration of these rate increases to keep the unemployment rate below where it is today.”

The Fed has said that the Federal Open Market Committee (FOMC) is considering a range of options, including raising rates, tightening the money supply, lowering short- term interest rates or raising short-year interest rates.

The central board has a three-member board of directors, but they can veto decisions made by the FOMC, which includes the president and two members of Congress.

The FOMCs decisions will be the first since the Fed began its program of bond buying in September.

The Fed’s policy committee has said bond buying is expected to be its primary tool for stimulating the economy.

In the latest statement, the Fed called the Federal Funds rate a “key tool” in its toolkit for the Fed to pursue its goal of full employment.

“We do expect that the FFS rate will remain a key tool for policymakers to consider as the FDS/FDS/FRF increases over time,” the central board said.

It said the FCS is expected at the beginning of December to begin its monthly review of its balance sheet and to consider whether to increase its rate. 

“The FCS will consider its options and make its decision when appropriate, consistent with the Board’s guidance on the appropriate timeframe for this exercise,” the board said in the statement.

The rate increases are the latest to hit the U’s economy since the Federal Housing Finance Agency (FHFA) announced it was pulling back from buying homes in an effort to lower housing costs.

The Federal Housing Coalition is currently reviewing its options for buying new mortgages. 

 The Federal Home Loan Mortgage Corporation (FHMC) has said on Wednesday it would begin to sell properties in November.

The government has already spent more than $US2 trillion to support housing affordability since the housing market crashed in the depths of the financial crisis in 2008.

More to come.