#PowellRemarks Federal Reserve Chair Powell emphasized that the FOMC will hold rates steady at 4.25–4.50%, describing the economy as “solid,” with low unemployment (~4.2%) and inflation slightly above target (~2.3%–2.6% core PCE). He warned that tariffs are beginning to push up prices, stating, “someone has to pay for the tariffs,” and flagged that future rate decisions will hinge on how tariff-induced inflation plays out. Powell noted the dot‑plot projection for two rate cuts this year, but acknowledged diminished conviction among FOMC members given unclear economic signals. He stressed uncertainty around trade policies and geopolitical risks, such as the Israel‑Iran conflict, cautioning that these factors complicate economic forecasting. Powell also reaffirmed the Fed’s independence amid political pressure, affirming a data‑dependent, patient approach ahead.