WASHINGTON—The Federal Open Market Committee (FOMC) decision earlier this week to maintain the federal funds target rate at its current range of 0% to 0.25% is an acknowledgment the economic recovery has stalled in recent months due to increased COVID-19 cases, according to one economist.
"While there was a reference to the progress on vaccine distribution and its potential to alter the path of economy, there was no indication that a change in asset purchase volume is anywhere in view,” said NAFCU Chief Economist and Vice President of Research Curt Long.
As it has in its recent meetings, the FOMC again issued a statement that the Fed is "committed to using its full range of tools to support the U.S. economy in this challenging time, thereby promoting its maximum employment and price stability goals."
During the meeting, the committee also unanimously reaffirmed its "Statement of Longer-Run Goals and Monetary Policy Strategy," originally adopted in August 2020 following a review of monetary policy strategy, tools, and communications practices.
Long said the new strategy framework seeks to better reflect economic changes and monetary policy approaches. Throughout the coronavirus pandemic, the Fed has made clear its intention to use its tools to their fullest potential until the economic recovery is well underway and Long previously said the statement "looks to avoid the mistakes of the past."
The FOMC is expected to next meet March 16-17. Its tentative meeting schedule for 2021 can be viewed here.
Three-Quarters of Consumers Familiar With CUs, But Just 1 in 4 Says a CU is PFI, & Other New Findings
WASHINGTON– More than three-quarters of U.S. consumers said they are familiar with credit unions and hold a positive impression, yet just one-in-four banks primarily with a credit union, a new survey has found. The 2026 Credit Union Consumer Perception Report from CUCollaborate surveyed 1,000 consumers across the U.S. in December 2025 to gauge their opinions on credit unions. It further found early 70% describe credit unions as trustworthy, and a majority recognize their advantages in fees and rates compared to traditional banks. But positive sentiment is in decline with younger bankers, according to CUCollaborate. Gen Z consumers represented a sharp shift in credit union perception from older generations, the company said, noting that among those respondents, 36% indicated they had only heard the term “credit union” without having a deeper understanding or had never heard of the term at all. Some “44% said they were somewhat familiar with credit unions, and a me...
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