Fed keeps the interest rates steadily and defies Trump's call for cuts

The Federal Reserve held the interest rates on Wednesday for the third meeting in a row and defies President Trump's demands that the central bank loosened monetary policy again and at the same time warned of increasing economic uncertainty.

Fed Chairman Jerome Powell repeatedly said in his press conference in the afternoon that the central bank did not have to be in a hurry because it rated in the coming months how Trump's tariffs influence the economy and inflation.

“I don't think we can say how it will shake out.”

The political decision-makers unanimously voted to maintain the Benchmark interest rate of the Fed in the range of 4.25%-4.5%.

Fed civil servants found in an explanation that the uncertainty about the economic prospects “continued” said that despite the fluctuations in net exports that influence the data in the first months of 2025, the economy continued to increase at a “solid pace”.

A GDP report about the first quarter showed that the US economy brought back to a rush of importers for the first time in three years in order to surpass the start of Trump's tariffs.

On Wednesday, the Fed officials also commented that “risks of greater unemployment and inflation have increased” that the political decision -makers at the moment at the moment have regarded the labor market as “solid” and found that the unemployment rate has stabilized at a low level in recent months.

A Friday in April in April showed that the job market shook the markets even in the weeks after Trump's “Liberation Day” announcements.

The decision to keep the tariffs stable on Wednesday was made after a public campaign by President Trump in the past few weeks to push the Fed and Powell to lower interest, since his administration introduces a series of aggressive tariffs for goods that were imported by large trading partners.

The president also set a number of insults in Powell and described him as “totally stiff” and a “big loser” while accused of acting too late.

“There can be a slowdown in the economy unless Lord too late, a great loser, now lowers interest rates,” said the President on April 21 on his website social media, truth social, and said that “preventive cuts” are challenged by many in interest rates. “

He also said that Powell's “termination does not come quickly enough” before he later made it clear that he did not intend to remove Powell before his term in May 2026.

Powell said when he was asked after Trump's demands for lower prices that speeches “had no influence on our job”.