Federal Reserve officials agreed that the current interest rate stance is likely to remain unchanged for a period of time, despite raising concerns that low interest rates could exacerbate imbalances in the financial sector, minutes of the December policy meeting showed. Policymakers also pledged to discuss changes to the way the central bank manages liquidity in financial markets at future meetings, including the potential role of a standing repo facility, the setting of administered rates, and the composition of the Fed's holdings of Treasury securities over the longer run. The Federal Reserve left the target range for its federal funds rate unchanged at 1.5-1.75 percent on December 11th 2019 signaling no plans to change rates in 2020. The decision came in line with market expectations. Interest Rate in the United States averaged 5.63 percent from 1971 until 2019, reaching an all time high of 20 percent in March of 1980 and a record low of 0.25 percent in December of 2008. source: Federal Reserve
Interest Rate in the United States is expected to be 1.75 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in the United States to stand at 1.75 in 12 months time. In the long-term, the United States Fed Funds Rate is projected to trend around 2.00 percent in 2020, according to our econometric models.