Federal Reserve decision on interest rate in the US under Trump's administration. Potential impact on inflation and tensions with the president.
The Federal Reserve, the central bank of the United States, decided to keep the interest rate unchanged in its first major decision during Donald Trump’s second term as president. Despite Trump’s desire to influence Federal Reserve policies, this decision could escalate tensions between the president and the central bank. Economists warn that Trump’s policies, including threats of new tariffs, widespread immigrant expulsion, and focus on increasing domestic oil production, could worsen inflation. Central bank officials emphasize they are expecting further progress in controlling inflation.
