Back to today’s briefing

Story perspectives

Fed Holds Rates Steady Amid Tariff Uncertainty

6/25/2025

25 5

Left

Powell Maintains Rates

Federal Reserve Chair Jerome Powell announced that the Fed will hold off on interest rate cuts until the effects of tariffs on US prices are clearer. Despite pressure from President Trump, who has criticized Powell, the Fed remains cautious, keeping rates steady while hinting at possible reductions later this year.

Center

Goolsbee Considers Cuts

Federal Reserve Bank of Chicago President Austan Goolsbee foresees potential interest rate cuts, yet emphasizes the necessity for clear inflation signals. He raised alarms about tariffs impacting manufacturing in states like Wisconsin, while asserting the Fed's independence against political pressures for swift reductions. Surprisingly, the effects of these tariffs have been milder than anticipated.

1 of 2

Powell Maintains Rates

Federal Reserve Chair Jerome Powell announced that the Fed will hold off on interest rate cuts until the effects of tariffs on US prices are clearer. Despite pressure from President Trump, who has criticized Powell, the Fed remains cautious, keeping rates steady while hinting at possible reductions later this year.

1 / 2