Anchor: The U.S. Fed has decided in its latest policy meeting to again keep the nation's key interest rate unchanged. Although the American economy is gradually picking up, indicators are mixed, including disappointing job market data. The Bank of Korea, which unexpectedly lowered rates last Thursday, has earned some time as concerns about foreign fund outflows have diminished.
Our Kim In-kyung has more.
 
Report: The U.S. Federal Reserve has maintained its benchmark interest rate at zero-point-25 to zero-point-five percent.
 
The rate has remained unchanged since the Fed raised it for the first time in nine-and-a-half years at the end of last year.
 
Announcing the freeze on Wednesday following a two-day policy meeting, U.S. Federal Reserve Chairwoman Janet Yellen said a decision on the timing of the next hike will be made cautiously as economic indicators are mixed.
 
[Sound bite: U.S. Federal Reserve Chairwoman Janet Yellen (English)]
"The state of the labor market is still healthy but there's been something of a loss of momentum.”
 
Yellen said anxiety among investors that Britain may leave the European Union(EU) also factored into the Fed's decision to stay pat.
 
[Sound bite: U.S. Federal Reserve Chairwoman Janet Yellen (English)]
“And as I indicated first of all international uncertainties loom large here. We mentioned Brexit, the U.K. decision, obviously how that turns out is something that will factor into future decisions. We're also looking at the prospects for economic growth and continued progress in the labor market."
 
This means interest rates may increase next month if Britain votes to stay in the EU and if U.S. jobs data improve.
 
Although the Fed said the U.S. economy is expanding again, it downgraded its growth forecast this year from two-point-two percent to two percent. The U.S. economy added just 38-thousand jobs in May, fewer than expected and the smallest growth since 2010.
 
Most officials on the Fed's policy-setting committee still believe there should be two hikes this year. The market consensus is for a one-time hike, in September or December, rather than next month.
 
Bank of Korea officials breathed a sigh of relief after the Fed left rates unchanged.
 
South Korea's central bank, which surprised markets by lowering rates last Thursday, has earned some time as concerns about foreign fund outflows have diminished for now.
 
South Korea's benchmark rate is at one-point-25 percent, 75 basis points to one percentage point higher than the U.S.
Kim In-kyung, KBS World Radio News.