The US Federal Reserve held interest rates unchanged at 4.25–4.5 percent on Wednesday, resisting pressure from President Trump to lower them. The decision came after a regular policy meeting of the Federal Open Market Committee (FOMC)—the Fed’s rate-setting body, Xinhua reported.
The Fed noted moderate economic growth, strong job market conditions, and slightly elevated inflation. US GDP grew 3 percent in Q2 after a 0.5 percent contraction in Q1, while consumer prices rose 2.7 percent in June, partly due to tariffs.
Two FOMC members supported a rate cut, and one abstained. Fed Chair Jerome Powell said no decision has been made for September and reaffirmed the Fed’s independence from political or fiscal pressures, according to Xinhua.
