Janet Yellen doesn't think the Fed has a credibility problem

Janet Yellen
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Federal Reserve chair Janet Yellen doesn't think the U.S. central bank has a credibility issue.

"We're struggling through a difficult set of issues" as the Fed looks to identify "the new normal," she said in response to a reporter at her press conference.

The questioner cited a speech that Yellen gave in Jackson Hole, Wyoming, that many market pundits interpreted as indicating that the Federal Open Market Committee was leaning increasingly toward raising interest rates in September.

That, of course, didn't happen today. The Fed lowered its forecast for 2016 and reduced projections for 2017.

Market watchers have been carefully tracking Fed officials' language in anticipation of Thursday's decision. The United States has maintained historically low interests rates for a decade and last experienced a rate increase in December 2015. We will continue to update this story as the market reacts to the Federal Open Market Committee's move.