The Federal Reserve is expected to keep interest rates stable at their next meeting, amidst increasing uncertainty from President Trump's tariffs and recent Middle East conflicts. Despite previous expectations for a possible rate cut, inflation remains controlled, although there are concerns that tariffs could stir up price pressures. Meanwhile, Trump pressures the Fed to lower rates to stimulate economic activity and reduce federal borrowing costs. Investors are closely monitoring the Fed's updates, especially in light of rising oil prices due to geopolitical tensions.
If sustained, that could jeopardize the drop in gasoline prices that has helped keep the overall cost of living in check.
Trump has been urging the central bank to cut interest rates more aggressively, arguing that lower borrowing costs will goose the economy.
Uncertainty about the economic outlook has increased,
Markets will be watching closely for an update to that forecast on Wednesday afternoon.
Collection
[
|
...
]