#FedHODL

Summary of the FED press conference:

- Inflation remains high: The FED warns that inflation is still "quite high." The decision to maintain interest rates this time follows three consecutive cuts at the end of 2024.

- No rush to cut interest rates: FED Chairman Jerome Powell stated that the FED needs to see "real progress in inflation or a weakening of the labor market before considering adjustments." The FED remains committed to a 2% inflation target and is not in a hurry to cut interest rates.

- The impact of tariffs remains uncertain: Powell emphasized that the impact of tariffs on the economy is still unclear. "We do not know the extent, timing, the countries involved, or the retaliatory responses. How tariffs affect the economy and consumers is still something to monitor."

- No contact with Trump: Powell stated that he has had no contact with President Trump, despite Trump repeatedly calling for the FED to cut interest rates. He also declined to comment on Trump's statements, deeming it "inappropriate."