Federal Reserve Expected to Hold Interest Rates Steady Amid Trump Policy Uncertainty
The Fed faces challenges balancing inflation, recession fears, and market volatility as trade policies and tariffs roil the economy.
- The Federal Reserve is widely anticipated to maintain its benchmark interest rate between 4.25% and 4.5% at its upcoming March 18-19 meeting.
- Chair Jerome Powell has emphasized a cautious, 'wait-and-see' approach as the Fed evaluates the economic impact of President Trump's tariffs and spending policies.
- Concerns over a potential 'Trumpcession' have grown, with consumer confidence and stock markets declining sharply in recent weeks.
- Economists are divided on the likelihood of rate cuts later this year, with some predicting two reductions while market expectations lean toward three.
- Inflation remains above the Fed's 2% target, complicating its ability to address slowing economic growth and labor market uncertainties.
The Guardian 
The Street 