US Federal Rate on Aug 5, 2008

Stayed.

Yup, agreed, remains at 2%.

Federal Reserve holds US interest rates steady: the Federal Reserve leaves rates unchanged but suggests inflation and US growth prospects remain key concerns.
http://business.timesonline.co.uk/tol...

stayed at 2%

The target rate should remain at 2%. The market don't need anymore mixed signals from the Fed.

The Fed will go conservative this time, and keep the rate at 2%. If you do nothing, you cannot make mistakes.

Looks like the fed rate is not going to change.

The difficulties facing the central bank begin with the fact that propping up a sagging economy and shaky financial markets demands low interest rates, while tamping down spiraling prices calls for high rates. Rising inflation expectations are a special worry for central bankers because they signal that people have begun to assume that prices are on the way up and therefore that they should charge more for their labor or products. That is a recipe for setting off a vicious cycle of higher prices feeding still higher ones.

IMO, the CPI index will be the most major factor for the next rate adjustment, and the CPI will be dictated by oil and food price. So what do you think?