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US Federal Reserve holds interest rates steady for fifth consecutive time

The US Federal Reserve has maintained interest rates at their current level for the fifth time since December, despite calls from Donald Trump to lower them.

  • The Federal Reserve's federal open market committee voted 9-3 to keep rates unchanged.
  • Interest rates currently sit within a range of 3.5% to 3.75%.
  • Half of the central bank's 18 members predicted at least one rate hike by the end of the year at the June meeting.

The US Federal Reserve held interest rates steady on Wednesday, marking the fifth consecutive time rates have remained unchanged since December. This decision comes despite renewed calls from Donald Trump to lower rates.

The Fed's federal open market committee voted 9-3 to maintain rates, with three dissenting members preferring a quarter-percentage point increase. Cooler inflation data earlier this month had reduced expectations for an imminent rate hike, but rising energy prices, linked to a tenuous peace deal between the US and Iran, strengthened the argument for an increase.

Interest rates are currently in a range of 3.5% to 3.75%. At the Fed's June meeting, half of its 18 members projected at least one rate hike by the end of the year.

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