Fed holds rates steady despite pressure from Trump

  • by:
  • Source: The Hill
  • 05/08/2025
The Federal Reserve’s interest rate setting committee held rates steady Wednesday at a range of 4.25 percent to 4.5 percent, despite calls from President Trump to lower borrowing costs amid price pressures from his trade war.

Wednesday’s rate hold was the third in a row, following pauses during meetings in March and January, after the central bank cut rates three times in the back half of 2024.

The Fed’s move was in line with market expectations. One prediction algorithm based on future contract prices put the probability of a hold at about 98 percent just prior to Wednesday’s announcement.

Fed officials had also emphasized the sturdiness of the domestic economy and the uncertainty driven by Trump’s tariffs, along with how they complicated plans for future rate cuts.

Fed Chair Jerome Powell said during a Wednesday press conference that solid fundamentals in the economy afford the central bank to see how new trade, fiscal and regulatory policies will unfold.

Read Full Article Here
 
Jerome Powell by is licensed under flickr

Follow us

Read our latest news on any of these social networks!

Get latest news delivered daily!

We will send you breaking news right to your inbox


Have a tip? Let us know!

Recent Articles

  • by:
  • Source: NBC News
  • 05/09/2025
...
FDA approves at-home HPV test to screen for cervical cancer

Traditional tests are done during a pelvic exam in the doctor’s office, an experience that many women find uncomfortable.

...
Ukraine Parliament Ratifies Trump’s Rare Earths Mineral Deal

KYIV, Ukraine (AP) – Ukraine’s Parliament unanimously voted in favor of ratifying of a landmark minerals deal with the U.S. on Thursday afternoon, a lawmaker said.

...
Luigi Mangione's legal defense fund hits $1 million in donations

Organizers said the financial milestone came from over 28,000 donations, with a median contribution of $20.

...
US Health department will analyze data from autistic Medicare, Medicaid enrollees, RFK Jr. says

The U.S. Health and Human Services department will start a research project to examine medical data and records of Medicaid and Medicare enrollees who have been diagnosed with autism, health secretary Robert F