Fed is likely to leave interest rate near zero through 2014

The Federal Reserve said Wednesday that it was likely to leave short-term interest rates at near zero levels at least through late 2014. The Fed is pushing out its easy-monetary policy even further into the future than previously indicated.

An interest-rate forecast is a historic step for the Fed, the latest in a series of moves under Chairman Ben S. Bernanke to increase transparency and communications with the public.

Policymakers at the central bank acknowledged the recent improvements in the economy but said that they expected economic growth over coming quarters to be modest and the unemployment rate, currently 8.5%, to decline only gradually. The Fed committee repeated its concern that strains in global financial markets continue to pose significant downside risks to the economic outlook.

Since August, the Fed had said it was likely to keep the federal funds rate at near zero at least through mid-2013. The federal fund rate broadly influences rates on loans for businesses and consumers.