Fed Holds Rates Steady, but Indicates Increases Will Continue

Officials give no signal they plan to pick up the pace of rate rises following recent inflation gains

WASHINGTON—The Federal Reserve held short-term interest rates steady Wednesday and indicated it remains on track to raise them gradually, including at its June meeting, to keep the expanding economy on an even keel.

After years of aggressive, postcrisis interventions to heal labor markets and delayed rate rises to spur inflation, central-bank officials now have the economy largely where they want it.

Labor...