Fed Pauses Rates Cuts Treasury Cap

Federal Reserve Maintains Interest Rates and Adjusts Financial Strategy

• The federal funds rate remains steady within the range of 4.25% to 4.50%.
• Inflation is noted as “somewhat elevated” by the Federal Reserve.
• The Fed plans to slow the pace of balance sheet normalization efforts.
• Chairman Jerome Powell highlights tariff challenges impacting the economy.

The Federal Reserve has decided to keep the federal funds rate between 4.25% and 4.50%, acknowledging ongoing inflation concerns, while also adjusting its financial strategy by slowing balance sheet normalization.