The Federal Reserve, Central Bank of the United States, decided on Wednesday (30) to maintain the country’s interest rates in the range between 4.25% and 4.50% per year for the fifth consecutive meeting. Despite meeting the expectations of the financial market, the decision is contrary to the appeals of US President Donald Trump by cuts at basic rates.
In a statement, the Fed repeated arguments presented at June and May meetings, but acknowledged that more recent economic indicators “suggest that the growth of economic activity was moderated in the first half of the year.” According to the document, the unemployment rate remains low, the conditions of the labor market remain solid and inflation remains a little high.
The Central Bank of the United States said it will continue to monitor the effects of economic information received to support its next decisions. The text also reiterated that uncertainty about economic perspectives remains high – especially around the possible impacts of tariff.
According to experts, the tariff war waged by Donald Trump can, in practice, press US inflation. The announcements and agreements on rates have led US companies to indicate price increases to compensate for additional import costs. This impact should directly fall on consumers, worrying the Fed.
The US Department of Commerce reported that the second semester economic growth exceeded expectations for the period. Trump celebrated the result and pressed the Central Bank for interest rates cuts. “The 2nd quarter GDP has just been released: 3%, much better than expected! You have to reduce the rate. Without inflation! Let people buy and refine their homes!” He wrote on their social networks.
