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Fed Chair Jerome Powell, when asked about the effects of tariffs on Wednesday, said that "higher tariffs have begun to show through more clearly to prices of some goods, but their overall effects on economic activity and inflation remain to be seen." Read more: cnb.cx/479VnfZ

Fed Chair Jerome Powell said at his press conference on Wednesday that the Fed has “made no decisions about September...we don’t do that in advance." Between now and the next Fed meeting, policymakers will get two full rounds of employment and inflation data to consider before their September rate decision. Read more: cnb.cx/479VnfZ

The federal funds rate sets what banks charge one another for overnight lending, but also has a ripple effect on many of the borrowing and savings rates consumers see every day.   From credit cards, car loans, mortgages, student debt and savings accounts, here's how the Federal Reserve's interest-rate decision influences your finances.

Economic growth has moderated in the first half of this year but the Federal Reserve is well positioned to respond to potential developments, Fed Chair Jerome Powell said on Wednesday. Growth in the first half of 2025 slowed to 1.2% compared to 2.5% last year, Powell said. The moderation in growth mostly reflects a slowdown in consumer spending, he said. “We believe that the current stance of monetary policy leaves us well positioned to respond in a timely way to potential economic developments,” Powell said. Read more: cnb.cx/479VnfZ

A divided Federal Reserve on Wednesday voted to keep its benchmark interest rate steady, despite a barrage of criticism from President Donald Trump and dissents from two top officials. The Federal Open Market Committee, the group that sets the overnight borrowing rate, voted 9-2 to stay on hold. The federal funds rate will continue to be set in a range between 4.25%-4.5%. Read more: cnb.cx/3J9dbxK

President Donald Trump on Wednesday signed on order imposing a universal 50% tariff on copper imports, the latest metal he has targeted with a steep import tax. The new, higher copper tariffs go into effect Friday, according to a fact sheet released by the White House. The Trump administration says that the new duties, which follow 50% U.S. tariffs already imposed on steel and aluminum, are aimed at boosting domestic industries and addressing "trade imbalances."

As was widely expected, the Federal Reserve is holding interest rates steady, despite pressure from President Donald Trump to cut them. Following a Federal Open Market Committee meeting Wednesday, the central bank announced that its benchmark interest rate will remain at a range of 4.25% to 4.5%. That means borrowing costs for credit cards, loans and auto financing will likely stay elevated until at least mid-September, when the FOMC meets again.

A divided Federal Reserve on Wednesday voted to keep its benchmark interest rate steady, despite a barrage of criticism from President Donald Trump and dissents from two top officials. The Federal Open Market Committee, the group that sets the overnight borrowing rate, voted 9-2 to stay on hold. The federal funds rate will continue to be set in a range between 4.25%-4.5%. The level sets what banks charge each other for overnight lending, but influences a slew of other rates across the economy. However, the decision met opposition from governors Michelle Bowman and Christopher Waller, both of whom have advocated for the Fed to start easing in acknowledgement that inflation is under control and the labor market could start weakening soon. This was the first time since late 1993 that multiple governors cast no votes on a rate decision. Read more: cnb.cx/3J9dbxK

A divided Federal Reserve on Wednesday voted to keep its benchmark interest rate steady, despite a barrage of criticism from President Donald Trump and dissents from two top officials. Read more: cnb.cx/3J9dbxK

A divided Federal Reserve on Wednesday voted to keep its benchmark interest rate steady, despite a barrage of criticism from President Donald Trump and dissents from two top officials. Read more: