Fed Holds Rates Steady Amid ‘Elevated’ Inflation and Trump …

Jan 29, 2025 · The Federal Reserve, as expected, held interest rates steady Wednesday while it awaits greater clarity on the future path of the economy and proposed new economic policies …

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Fed Keeps Interest Rates Unchanged Amid Inflation, Pressure From …

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Jan 29, 2025 · The decision to hold rates steady at a range of 4.25% to 4.5% could mark the beginning of an extended respite as the Fed assesses the course of inflation and awaits …

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FAQs about Fed Holds Rates Steady Amid ‘Elevated’ Inflation and Trump … Coupon?

Why did the Federal Reserve keep interest rates steady?

The Federal Reserve held interest rates steady at its January meeting following three consecutive rate cuts amid uncertainty over inflation and economic conditions. ...

Is the Fed getting closer to its inflation target?

Fed officials “need to see a little more progress on inflation,” he added, though he also said it is getting “very close” to their target. Annual inflation was just 2.4% in November, according to the Fed's preferred gauge, only modestly above its goal, but it has been stuck there for about six months. ...

Does Trump want lower interest rates?

WASHINGTON (AP) — President Donald Trump may want lower interest rates, but the Federal Reserve will almost certainly keep its benchmark interest rate unchanged at its two-day policy meeting that ends Wednesday. It is likely to be a quiet start to an eventful year for the central bank. ...

How did Trump's remark affect the Fed?

Trump's remark set up a clash with Powell and the central bank, which is structured as an independent agency insulated from political influence so it can make decisions based on the best interests of the economy. Trump repeatedly badgered Powell to cut rates during his first term, though it didn’t appear to affect Fed moves. ...

Should the Fed keep its key rate elevated?

Some officials, including Beth Hammack, president of the Fed’s Cleveland branch, have argued that the persistence of inflation means the Fed should keep its key rate elevated. Hammack voted against the Fed’s quarter-point cut last month. Hiring rebounded in December, reversing a downshift in the fall that had unnerved the Fed. ...

Will trump lower inflation by slashing regulation?

Trump, who appointed Powell as Fed chair in 2018, said he would lower inflation himself through various initiatives including energy production, American manufacturing and "slashing regulation." “The Fed has done a terrible job on Bank Regulation,” Trump said in a post on Truth Social. ...