💨 Abstract

The Federal Reserve is anticipated to keep interest rates unchanged for the fifth consecutive meeting, reflecting a deep divide between Chair Jerome Powell and President Donald Trump. Powell's view aligns with most economists, stating that a solid economy justifies higher interest rates to prevent inflation. Trump, however, pushes for lower rates to reduce government borrowing costs. Some Fed members appointed by Trump may dissent, favoring a rate cut. The Fed is cautious about cutting rates too soon due to recent inflation rise.

Courtesy: WTOP Staff