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Federal Reserve likely to defy Trump, keep rates unchanged this week

The Federal Reserve is expected to maintain its benchmark short-term interest rate near 4.3% during its meeting on May 6, 2025, in Washington.
This decision follows steady inflation cooling and high borrowing costs that are no longer deemed necessary to restrain prices, despite pressure from President Trump.
Economists and officials, including Vincent Reinhart and Preston Mui, expect the Fed to wait for clear evidence before adjusting rates and act cautiously due to lessons from the 2021 inflation surge.
Grocery prices rose 2.4% over the past year while gas prices fell 10%, averaging $3.18 a gallon nationwide, reflecting a mixed inflationary environment that complicates Fed policy.
Maintaining the current rate suggests the Fed aims to balance containing inflation and economic risks despite criticism and political pressure, with first rate cuts expected around July according to futures markets.

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The Brunswick News

Lean Right

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Associated Press News

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Lean Left

Federal Reserve likely to defy Trump, keep rates unchanged this week

The Federal Reserve will likely keep its key short-term interest rate unchanged on Wednesday, despite harsh criticism from President Donald Trump and his demand that the Fed reduce borrowing costs.

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Live Mint

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diariolarepublica.ar

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EMEA Tribune, Breaking News, World News, Latest News, Top Headlines

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