U.S. Federal Reserve Chair Jerome Powell attends a press conference in Washington, D.C., the United States, on June 18, 2025. [Photo/Xinhua]

The U.S. Federal Reserve on Wednesday left the target range for the federal funds rates unchanged at 4.25 percent to 4.5 percent, as solid expansion of economic activity supports the wait-and-see mode.

This marked the fourth time that the Fed chose to keep the benchmark interest rates unchanged in a row.

"Although swings in net exports have affected the data, recent indicators suggest that economic activity has continued to expand at a solid pace," said the Fed in a statement.

The United States continues to have a low unemployment rate, solid labor market and somewhat elevated inflation, according to the Fed.

"Uncertainty about the economic outlook has diminished but remains elevated," added the statement.

The Federal Open Market Committee will continue to monitor the implications of incoming information for the economic outlook, said the statement.

Notably, Federal Reserve Board members and Federal Reserve Bank presidents projected higher unemployment and inflation for 2025, 2026 and 2027 and adjusted lower forecasts of U.S. economic growth in 2025 and 2026.