Federal Reserve Stands Pat, Keeping Interest Rates Steady at 4.25%-4.5%

The Federal Reserve has opted to maintain interest rates at the current range of 4.25% to 4.5%, signaling a cautious approach to inflation and economic uncertainties. Chair Jerome Powell cited persistent concerns about inflation, particularly influenced by tariff impacts on the economy, as key justification for this decision. This move offers stability to financial markets, potentially minimizing immediate volatility in cryptocurrencies. Analysts note that stable interest rates may contribute to calmer market conditions for digital assets like Bitcoin and Ethereum. Meanwhile, President Trump’s call for rate cuts clashes with Powell’s stance on maintaining steady rates to ensure prudent economic management. The Fed’s decision was communicated following their recent FOMC meeting.