U.S. Federal Reserve
Fed Holds Rates Steady
The Federal Reserve on Wednesday kept interest rates steady amid expectations of higher inflation and lower economic growth ahead and still pointed to two reductions later this year. With markets expecting no chance of a central bank move this week, the Federal Open Market Committee kept its key borrowing rate targeted at a range between 4.25%-4.5%, where it has been since December. Along with the rate decision, the committee indicated, through its closely watched “dot plot,” that two cuts by the end of 2025 are still on the table. However, it lopped off one cut for both 2026 and 2027, putting the expected future rate cuts at four, or a full percentage point.









