In their first meeting since President Trump was sworn into office for his second term, the U.S Federal Reserve has announced they will keep the interest rate steady, following three consecutive cuts, which brought the overnight borrowing rate to a target range of 4.25%-4.50%.
In a statement explaining their decision, the Federal Reserve noted that the unemployment market has stabilized, although the inflation rate has not yet reached their desired levels.
“The unemployment rate has stabilized at a low level in recent months, and labor market conditions remain solid,” the statement read, adding that inflation “remains somewhat elevated.”
The statement also indicated that the economy “has continued to expand at a solid pace.“
Trump said they would lower the rate.