U.S. employment is stalled, growth is anemic, and the Federal Reserve has decided not to take action for at least another month.
Most economists weren't expecting the Federal Open Markets Committee, which sets the Fed's monetary policy, to announce another round of quantitative easing — a fancy term that basically means the central bank buys bonds to increase the money supply and make borrowing cheaper — at this week's meeting. Still, that's exactly what a number of them think is needed.
While it does indeed appear that "economic activity decelerated somewhat over the first half of this year," the Federal Reserve also said in its policy statement this afternoon that it is not — as of yet — taking any news steps to give the economy a boost.
The nearly 40 percent drop in median household net worth between 2007 and 2010 the Federal Reserve reported earlier this week was unarguably an arresting statistic. It confirmed for millions what they already knew, that the Great Recession and its aftermath have been a financial setback with few parallels.