The Federal Reserve slashed its 2014 growth forecast for the US economy Wednesday to 2.1-2.3 percent after a deeper-than-expected contraction in the first quarter of the year.
In March the Fed forecast growth at 2.8-3.0 percent, before the depth of the winter setback, partially due to extremely harsh weather across much of the country, was known.
But central bank policymakers stuck to their prediction for growth of 3.0-3.2 percent in 2015, with inflation holding at around 2 percent.
They also see the unemployment rate, a key indicator for monetary policy, falling from the current 6.3 percent to 6.0-6.1 percent by year-end, and 5.4-5.7 percent in 2015, both slightly lower than previously forecast