US President Donald Trump voiced support for the Federal Reserve’s decision last week to hold interest rates steady, marking a rare shift from his usual calls for lower rates.
“I’m not surprised,” Trump told reporters upon his return to Washington on Sunday evening. “Holding the rates at this point was the right thing to do.”
The Federal Open Market Committee (FOMC) unanimously decided to maintain the federal funds rate within the 4.25% to 4.5% range. The pause comes amid ongoing inflation concerns and economic uncertainties fueled by recent policy measures, including tariffs and deportation operations initiated by the Trump administration.
Trump’s backing of the decision contrasts with his previous remarks advocating for rate cuts. As recently as the World Economic Forum in Davos, he urged the central bank to lower rates to boost economic growth. Trump has also questioned whether the US president should have a say in Federal Reserve decisions.
With input from Bloomberg.
