US Fed Holds Rates Steady Amid Inflation Concerns
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The US Federal Reserve (Fed) kept interest rates unchanged at 3.50% to 3.75%, maintaining its target range for the fifth consecutive meeting. The decision was widely expected by markets, with focus shifting to Fed Chair Kevin Warsh's comments on inflation and policy outlook. Inflation remains above the Fed's 2% target, driven partly by supply shocks, particularly in energy. Three members of the Federal Open Market Committee (FOMC) dissented, favoring a 25-basis-point increase. The Fed reaffirmed its commitment to price stability but offered little forward guidance on future rate moves.
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