Fed Holds Rates Amidst Tariff Uncertainty

The Federal Reserve maintained its key interest rate, signaling caution in the face of economic uncertainty fueled by President Trump’s tariffs. Officials cited concerns about potential inflation stemming from these tariffs and highlighted a need to assess their impact on market volatility before altering policy strategies. While Fed Chair Jerome Powell acknowledged the challenges posed by this evolving environment, he expressed confidence in maintaining the current interest rate level as they strive for stability.