interest rate News Updates

Warsh, who served on the U.S. central bank’s Board of Governors from 2006 to 2011 and has previously advised Trump on economic policy, would succeed Jerome Powell when his term ends in May.

The Federal Open Market Committee voted 10-2 Jan. 28 to hold the benchmark federal funds rate in a range of 3.5%-3.75%. The two dissenting were in favor of a quarter-point reduction.

President Trump said if Hassett were to leave the White House National Economic Council, it would deprive the administration of one of its most powerful messengers of the economy.

The Federal Reserve is expected to cut short-term rates in 2026, with its key interest rate settling at 3.4% toward the end of President Donald Trump's term in office in 2028, according to the CBO.

President Donald Trump has made numerous cryptic — and sometimes contradictory — remarks about his decision-making process regarding the new central bank chief.

The Federal Reserve reduced its key interest rate for the third time in a row Dec. 10 but signaled that it may leave rates unchanged in the coming months.

Fed officials are widely expected to cut their benchmark interest rate for a third straight time Dec. 10, in a bid to safeguard against worsening labor market conditions.

The data shows that inflation was muted in September and will bolster the case for a cut to the Fed’s key interest rate at its next meeting Dec. 9-10.

Trump for months has pressured the Fed to lower interest rates, and naming a successor to Jerome Powell would give the president his biggest chance yet to reshape the institution.

In their post-meeting statement, Fed policymakers on Oct. 29 repeated their assessment that “job gains have slowed” and said “risks to employment rose in recent months.”