The Fed keeps rates in their range of 4.25 to 4.5%

The US Federal Reserve ( Fed ) on Wednesday again left rates unchanged at their current range of 4.25% to 4.5% and maintained the possibility of two rate cuts by the end of the year.

The decision came at the end of the two-day meeting of the Federal Open Market Committee (FOMC), which took place amid President Donald Trump's usual pressure to implement the cuts as soon as possible.

This Wednesday, the Republican leader actually doubled down on his attacks on Fed Chairman Jerome Powell, accusing him of having "political" motives for not acting more quickly and whose behavior he considered "costing the country dearly."

• Rates have remained at 4.25% and 4.5% since the January meeting, when the Fed broke the cycle of rate cuts that began last September, but Trump's pressure for Powell to lower them began even before he began his second presidential term on January 20.

The Fed accompanied its announcement on Wednesday with a parallel report on economic projections.

The median forecast of its governors in that document predicted two rate cuts by 2025, to 3.9% (equivalent to a range of 3.75% to 4%). These figures reflect the majority's belief that these cuts will occur, although they do not necessarily mean that they will.

Federal Open Market Committee

The US regulator's FOMC , in line with its May statement, highlighted that "recent indicators suggest that economic activity has continued to expand at a solid pace," despite "fluctuations in net exports" due to the tariff war launched by the Trump administration, which was not directly cited.

His message reiterated the position that monetary policy will be adjusted "as appropriate if risks emerge that could hinder the achievement of its objectives" and that its assessments will consider "a wide range of information, including data on labor market conditions, inflationary pressures and expectations, and financial and international developments." EFE

TOPICS -