Jerome Powell, Chairman of the Federal Reserve

American, with several important statements reflecting

Monetary policy trends in light of the conditions

Current economic situation:



  • Current interest rate level:

    Powell indicated that interest rates have exceeded the central bank's target

    of 2%, but he sees that the time

  • is not appropriate for any adjustment now, adding that

  • the interest "is in a good place" currently.



  • Tariffs and inflation:

    Powell warned that the continued increase in tariffs,

  • as recently announced, could lead to a rise in

  • inflation and a decrease in employment rates. He also noted

  • that many survey participants see

  • these tariffs as a main driver of inflation expectations.


  • Political impacts:

    Powell confirmed that President Trump's pressures to cut interest rates

    do not influence Federal Reserve decisions,

  • emphasizing the bank's independence and that it works to serve

  • the American people.


  • Outlook:

    Powell sees that the economic impacts of tariffs

  • may be temporary, and that there is a lot of

  • uncertainty about the future of these policies. He also

  • noted that there are scenarios where a rate cut

  • may be justified later this year, but he cannot confidently determine the right path for interest rates at this time.



  • The U.S. economy:

    Despite some distortions in the first quarter data,

  • Powell described the economy as strong, but he emphasized that they

  • will wait until the picture becomes clearer,

  • especially with the possibility of signing new trade agreements.


Summary:

The Federal Reserve adopts a cautious approach and monitors

The impact of tariffs and economic fluctuations

before making any decisions regarding interest rates.$XRP

#FOMCMeeting