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  5. Fed stands firm, no rate cuts yet; read the full Powell-led FOMC statement

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Fed stands firm, no rate cuts yet; read the full Powell-led FOMC statement

Upstox
By Upstox News Desk

2 min read | Updated on June 19, 2025, 07:45 IST

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SUMMARY

The Federal Open Market Committee (FOMC), led by Federal Reserve Chair Jerome Powell, while maintaining the lending rate within a range of 4.25% to 4.50%, noted that inflation remains somewhat elevated.

Fed chair Powell said that the current stance of monetary policy allows them to respond in a timely way to potential economic developments. | Image: X/@federalreserve

Fed chair Powell said that the current stance of monetary policy allows them to respond in a timely way to potential economic developments. | Image: X/@federalreserve

The United States Federal Reserve on Wednesday, June 18, kept interest rates unaltered for a fourth consecutive meeting, stating that the uncertainty about the economic outlook has diminished but remains somewhat elevated.

The Federal Open Market Committee (FOMC), led by Federal Reserve Chair Jerome Powell, while maintaining the lending rate within a range of 4.25% to 4.50%, noted that inflation remains somewhat elevated.

In a press conference, Powell said that the current stance of monetary policy allows them to respond in a timely way to potential economic developments.

Federal Reserve issues FOMC statement: Full text

"Although swings in net exports have affected the data, recent indicators suggest that economic activity has continued to expand at a solid pace. The unemployment rate remains low, and labor market conditions remain solid. Inflation remains somewhat elevated.
The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Uncertainty about the economic outlook has diminished but remains elevated. The Committee is attentive to the risks to both sides of its dual mandate.
In support of its goals, the Committee decided to maintain the target range for the federal funds rate at 4-1/4 to 4-1/2 percent. In considering the extent and timing of additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee will continue reducing its holdings of Treasury securities and agency debt and agency mortgage‑backed securities. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 percent objective.
In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals. The Committee's assessments will take into account a wide range of information, including readings on labor market conditions, inflation pressures and inflation expectations, and financial and international developments."
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Upstox News Desk is a team of journalists who passionately cover stock markets, economy, commodities, latest business trends, and personal finance.