{"id":13118,"date":"2025-03-20T14:25:18","date_gmt":"2025-03-20T18:25:18","guid":{"rendered":"https:\/\/economicherald.net\/?p=13118"},"modified":"2025-03-20T14:25:21","modified_gmt":"2025-03-20T18:25:21","slug":"fed-holds-rates-as-economic-uncertainty-grows","status":"publish","type":"post","link":"https:\/\/economicherald.net\/?p=13118","title":{"rendered":"Fed Holds Rates as Economic Uncertainty Grows"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Policy Stalemate Amid Trump\u2019s Economic Shifts<\/h2>\n\n\n\n<p>The <strong>Federal Reserve<\/strong> signaled a lack of clear direction on future monetary policy as it grapples with economic uncertainty caused by <strong>trade policy changes, spending cutbacks, and deregulation<\/strong> from the <strong>Trump administration<\/strong>. Despite rising inflation and slowing growth, the central bank kept its projection of <strong>two rate cuts in 2025<\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Powell Acknowledges Uncertainty<\/h2>\n\n\n\n<p>Fed Chair <strong>Jerome Powell<\/strong> admitted to the unpredictability of the current economic landscape, stating that policymakers lack strong confidence in their forecasts.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;I don&#8217;t know anyone who has a lot of confidence in their forecast,&#8221; Powell told reporters.<\/p>\n<\/blockquote>\n\n\n\n<p>He emphasized that the Fed is taking a wait-and-see approach rather than reacting prematurely to shifting economic conditions.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Key Economic Projections<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>GDP Growth:<\/strong> Expected at <strong>1.7%<\/strong> in 2025, down from <strong>2.1%<\/strong> in December.<\/li>\n\n\n\n<li><strong>Unemployment Rate:<\/strong> Forecasted to rise <strong>0.4 percentage points<\/strong> by year-end.<\/li>\n\n\n\n<li><strong>Inflation:<\/strong> Revised up to <strong>2.7%<\/strong> from the previous <strong>2.5%<\/strong> estimate.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Fed\u2019s Role Shifts to Observer<\/h2>\n\n\n\n<p>Unlike in past economic cycles where the Fed played a decisive role in steering growth, the core economic drivers now come from <strong>fiscal and trade policies<\/strong>. <strong>Tariffs, immigration restrictions, and deregulation<\/strong> are contributing to economic turbulence, leaving the Fed with fewer tools to stabilize the situation.<\/p>\n\n\n\n<p>&#8220;Trade wars and deportations amount to negative supply shocks, which the Fed\u2019s interest rate policy is ill-suited to counteract,&#8221; economists warn.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What\u2019s Next?<\/h2>\n\n\n\n<p>While the Fed still expects to <strong>cut rates twice<\/strong> in 2025, its stance remains flexible. The coming months will be crucial in determining whether inflation stabilizes or if further tightening is needed to counteract policy-driven disruptions.<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Policy Stalemate Amid Trump\u2019s Economic Shifts The Federal Reserve signaled a lack of clear direction on future monetary policy as it grapples with economic uncertainty <a href=\"https:\/\/economicherald.net\/?p=13118\" class=\"read-more-link\">[more&#8230;]<\/a><\/p>\n","protected":false},"author":4,"featured_media":13119,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[76,3287,2609,571,103,3301,2776,3302,3304],"class_list":["post-13118","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","tag-economic-uncertainty","tag-fed-interest-rates","tag-gdp-growth","tag-jerome-powell","tag-monetary-policy","tag-trade-wars","tag-trump-economic-policy","tag-u-s-inflation","tag-unemployment-forecast"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Fed Holds Rates as Economic Uncertainty Grows - Economic Herald<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/economicherald.net\/?p=13118\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Fed Holds Rates as Economic Uncertainty Grows - Economic Herald\" \/>\n<meta property=\"og:description\" content=\"Policy Stalemate Amid Trump\u2019s Economic Shifts The Federal Reserve signaled a lack of clear direction on future monetary policy as it grapples with economic uncertainty [more...]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/economicherald.net\/?p=13118\" \/>\n<meta property=\"og:site_name\" content=\"Economic Herald\" \/>\n<meta property=\"article:published_time\" content=\"2025-03-20T18:25:18+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-03-20T18:25:21+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/economicherald.net\/wp-content\/uploads\/2025\/03\/fed-holds-rates-as-economic-uncertainty-grows.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1000\" \/>\n\t<meta property=\"og:image:height\" content=\"667\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Julia Simons\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118\"},\"author\":{\"name\":\"Julia Simons\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/#\\\/schema\\\/person\\\/90ddf480592236aac6527336c4911fb8\"},\"headline\":\"Fed Holds Rates as Economic Uncertainty Grows\",\"datePublished\":\"2025-03-20T18:25:18+00:00\",\"dateModified\":\"2025-03-20T18:25:21+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118\"},\"wordCount\":264,\"publisher\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/economicherald.net\\\/wp-content\\\/uploads\\\/2025\\\/03\\\/fed-holds-rates-as-economic-uncertainty-grows.jpg\",\"keywords\":[\"Economic uncertainty\",\"Fed interest rates\",\"GDP growth\",\"Jerome Powell\",\"Monetary Policy\",\"trade wars\",\"Trump economic policy\",\"U.S. inflation\",\"unemployment forecast\"],\"articleSection\":[\"Finance\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118\",\"url\":\"https:\\\/\\\/economicherald.net\\\/?p=13118\",\"name\":\"Fed Holds Rates as Economic Uncertainty Grows - Economic Herald\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/economicherald.net\\\/wp-content\\\/uploads\\\/2025\\\/03\\\/fed-holds-rates-as-economic-uncertainty-grows.jpg\",\"datePublished\":\"2025-03-20T18:25:18+00:00\",\"dateModified\":\"2025-03-20T18:25:21+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/economicherald.net\\\/?p=13118\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#primaryimage\",\"url\":\"https:\\\/\\\/economicherald.net\\\/wp-content\\\/uploads\\\/2025\\\/03\\\/fed-holds-rates-as-economic-uncertainty-grows.jpg\",\"contentUrl\":\"https:\\\/\\\/economicherald.net\\\/wp-content\\\/uploads\\\/2025\\\/03\\\/fed-holds-rates-as-economic-uncertainty-grows.jpg\",\"width\":1000,\"height\":667,\"caption\":\"fed-holds-rates-as-economic-uncertainty-grows\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/?p=13118#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/economicherald.net\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Fed Holds Rates as Economic Uncertainty Grows\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/#website\",\"url\":\"https:\\\/\\\/economicherald.net\\\/\",\"name\":\"Economic Herald\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/economicherald.net\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/#organization\",\"name\":\"Economic Herald\",\"url\":\"https:\\\/\\\/economicherald.net\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/economicherald.net\\\/wp-content\\\/uploads\\\/2023\\\/10\\\/cropped-cropped-economicheraldlogo-1.png\",\"contentUrl\":\"https:\\\/\\\/economicherald.net\\\/wp-content\\\/uploads\\\/2023\\\/10\\\/cropped-cropped-economicheraldlogo-1.png\",\"width\":850,\"height\":760,\"caption\":\"Economic Herald\"},\"image\":{\"@id\":\"https:\\\/\\\/economicherald.net\\\/#\\\/schema\\\/logo\\\/image\\\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/economicherald.net\\\/#\\\/schema\\\/person\\\/90ddf480592236aac6527336c4911fb8\",\"name\":\"Julia Simons\",\"url\":\"https:\\\/\\\/economicherald.net\\\/?author=4\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Fed Holds Rates as Economic Uncertainty Grows - Economic Herald","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/economicherald.net\/?p=13118","og_locale":"en_US","og_type":"article","og_title":"Fed Holds Rates as Economic Uncertainty Grows - Economic Herald","og_description":"Policy Stalemate Amid Trump\u2019s Economic Shifts The Federal Reserve signaled a lack of clear direction on future monetary policy as it grapples with economic uncertainty [more...]","og_url":"https:\/\/economicherald.net\/?p=13118","og_site_name":"Economic Herald","article_published_time":"2025-03-20T18:25:18+00:00","article_modified_time":"2025-03-20T18:25:21+00:00","og_image":[{"width":1000,"height":667,"url":"https:\/\/economicherald.net\/wp-content\/uploads\/2025\/03\/fed-holds-rates-as-economic-uncertainty-grows.jpg","type":"image\/jpeg"}],"author":"Julia Simons","twitter_card":"summary_large_image","twitter_misc":{"Written by":false,"Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/economicherald.net\/?p=13118#article","isPartOf":{"@id":"https:\/\/economicherald.net\/?p=13118"},"author":{"name":"Julia Simons","@id":"https:\/\/economicherald.net\/#\/schema\/person\/90ddf480592236aac6527336c4911fb8"},"headline":"Fed Holds Rates as Economic Uncertainty Grows","datePublished":"2025-03-20T18:25:18+00:00","dateModified":"2025-03-20T18:25:21+00:00","mainEntityOfPage":{"@id":"https:\/\/economicherald.net\/?p=13118"},"wordCount":264,"publisher":{"@id":"https:\/\/economicherald.net\/#organization"},"image":{"@id":"https:\/\/economicherald.net\/?p=13118#primaryimage"},"thumbnailUrl":"https:\/\/economicherald.net\/wp-content\/uploads\/2025\/03\/fed-holds-rates-as-economic-uncertainty-grows.jpg","keywords":["Economic uncertainty","Fed interest rates","GDP growth","Jerome Powell","Monetary Policy","trade wars","Trump economic policy","U.S. inflation","unemployment forecast"],"articleSection":["Finance"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/economicherald.net\/?p=13118","url":"https:\/\/economicherald.net\/?p=13118","name":"Fed Holds Rates as Economic Uncertainty Grows - Economic Herald","isPartOf":{"@id":"https:\/\/economicherald.net\/#website"},"primaryImageOfPage":{"@id":"https:\/\/economicherald.net\/?p=13118#primaryimage"},"image":{"@id":"https:\/\/economicherald.net\/?p=13118#primaryimage"},"thumbnailUrl":"https:\/\/economicherald.net\/wp-content\/uploads\/2025\/03\/fed-holds-rates-as-economic-uncertainty-grows.jpg","datePublished":"2025-03-20T18:25:18+00:00","dateModified":"2025-03-20T18:25:21+00:00","breadcrumb":{"@id":"https:\/\/economicherald.net\/?p=13118#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/economicherald.net\/?p=13118"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/economicherald.net\/?p=13118#primaryimage","url":"https:\/\/economicherald.net\/wp-content\/uploads\/2025\/03\/fed-holds-rates-as-economic-uncertainty-grows.jpg","contentUrl":"https:\/\/economicherald.net\/wp-content\/uploads\/2025\/03\/fed-holds-rates-as-economic-uncertainty-grows.jpg","width":1000,"height":667,"caption":"fed-holds-rates-as-economic-uncertainty-grows"},{"@type":"BreadcrumbList","@id":"https:\/\/economicherald.net\/?p=13118#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/economicherald.net\/"},{"@type":"ListItem","position":2,"name":"Fed Holds Rates as Economic Uncertainty Grows"}]},{"@type":"WebSite","@id":"https:\/\/economicherald.net\/#website","url":"https:\/\/economicherald.net\/","name":"Economic Herald","description":"","publisher":{"@id":"https:\/\/economicherald.net\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/economicherald.net\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/economicherald.net\/#organization","name":"Economic Herald","url":"https:\/\/economicherald.net\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/economicherald.net\/#\/schema\/logo\/image\/","url":"https:\/\/economicherald.net\/wp-content\/uploads\/2023\/10\/cropped-cropped-economicheraldlogo-1.png","contentUrl":"https:\/\/economicherald.net\/wp-content\/uploads\/2023\/10\/cropped-cropped-economicheraldlogo-1.png","width":850,"height":760,"caption":"Economic Herald"},"image":{"@id":"https:\/\/economicherald.net\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/economicherald.net\/#\/schema\/person\/90ddf480592236aac6527336c4911fb8","name":"Julia Simons","url":"https:\/\/economicherald.net\/?author=4"}]}},"_links":{"self":[{"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/posts\/13118","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/economicherald.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=13118"}],"version-history":[{"count":1,"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/posts\/13118\/revisions"}],"predecessor-version":[{"id":13120,"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/posts\/13118\/revisions\/13120"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/economicherald.net\/index.php?rest_route=\/wp\/v2\/media\/13119"}],"wp:attachment":[{"href":"https:\/\/economicherald.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=13118"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/economicherald.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=13118"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/economicherald.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=13118"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}