The News
US President Donald Trump renewed his pressure campaign on the Federal Reserve Sunday, urging the central bank to cut interest rates at its meeting this week.
Economists expect the Fed to keep the cost of borrowing steady until at least the second half of the year: Despite worries of a tariff-induced economic slowdown, the Fed’s wait-and-see approach to rate cuts is likely unchanged, especially after Friday’s strong jobs data reinforced policymakers’ belief that the economy seems on solid footing.
Officials are watching closely to see whether rising consumer prices causes persistent inflation. A decision to hold rates steady will likely draw Trump’s ire again, although the president recently insisted he won’t try to fire Fed Chair Jerome Powell.