The Federal Reserve held its benchmark interest rate steady at around 4.5, according to The Wall Street Journal. The decision is cautious as it evaluates economic uncertainty stemming from Trump administration policies on trade, immigration, and spending. Fed Chair Jerome Powell said the central bank is awaiting further clarity, citing the impact of tariffs on inflation. Fed officials expect inflation to rise this year, attributing the increase to tariffs, though they anticipate price growth will slow in 2026 and 2027. The Dow Jones, Nasdaq, and S&P 500 gained on the news.
