U.S. Fed Leaves Benchmark Interest Rate Unchanged for Third Consecutive Time

Washington: The U.S. Federal Reserve held its benchmark interest rate steady for the third consecutive time on Wednesday, amid concerns that U.S. President Donald Trump's tariff policy could lead to higher prices and slower economic growth.According to Yonhap News Agency, after the two-day rate-setting Federal Open Market Committee (FOMC) meeting, the central bank announced a decision to keep the key rate at the 4.25-4.50 percent range, despite Trump's repeated calls for a rate reduction. The Fed paused cuts in January and March following a quarter percentage point reduction in December.The Fed has envisioned two rate cuts this year, down from four projected in September. It appears to be taking a wait-and-see stance as it is carefully monitoring the impact of Trump's new tariffs on the overall economy.Trump has imposed a baseline 10 percent tariff on most U.S. imports as well as 25 percent levies on steel, aluminum, and autos, while pausing steep "reciprocal" tariffs until July 8 to allow for negotiati ons with America's trading partners. He has raised tariffs on China to 145 percent.