Fed holds interest rates steady, defying pressure from Trump

The Federal Reserve held interest rates steady on Wednesday, just weeks after President Donald Trump intensified calls for lower borrowing costs and voiced eagerness about Fed Chair Jerome Powell’s potential “termination.”

The move marked the Fed’s second consecutive decision to maintain the current level of interest rates, repeating an approach taken in January. Before that, the Fed had cut rates at three consecutive meetings.

The Federal Open Market Committee, a policymaking body at the Fed, said Wednesday that key economic indicators had improved but it cautioned of heightened economic uncertainty.

“Risks of higher unemployment and higher inflation have risen,” the FOMC said in a statement.

Source-ABC