By Greg Robb
WASHINGTON (MarketWatch) -- The Federal Reserve kept its benchmark interest rate at a record low level Tuesday and made no changes to the key "extended period" policy pledge. The Fed's policy statement, released after a closed-door meeting, said the economic situation is "likely to warrant exceptionally low levels of the federal funds rate for an extended period." The Fed's description of the economy was a little more upbeat about the job market. But Fed officials also noted that housing remained weak. The Fed said that its purchases of more than a trillion dollars of mortgage-backed securities would be finished by the end of the month as scheduled. The Fed kept the door open for more purchases, saying that it will employ its policy tools as necessary to promote growth. There was one dissent to the policy stance. Thomas Hoenig, the president of the Kansas City Federal Reserve Bank, objected to the extended period wording for the second straight meeting.
