The US Federal Reserve is the United State of America’s central bank. Like all central banks, the US Federal Reserve sets the nation’s monetary policy. This includes hiking or cutting interest rates in order to control the inflation that exists in the nation.
The Federal Reserve has paused hiking interest rates because it is worried about the growth prospects of the world. It was after a two-day meeting that the US Fed, its monetary policymakers specifically, decided to keep the US interest rate range between 2.25%-2.5%.
This is in contrast with their previous outlook for 2019 when the central bank had predicted two rate hikes in the year. The reason for this pause in rate hike, the Fed was due to the slowing down of economic growth.