Federal Reserve Holds Target at 4.25% to 4.50% at Its March 2025 Meeting "The Federal Reserve's meeting concluded today with the Fed continue to maintain its target rate at 4.25 to 4.50%.
In the Fed's statement, it cites significant progress in getting inflation to its 2% target, but still remains elevated. In fact, the Fed increased its core inflation projection for all of 2025 from 2.50% to 2.80%. The Fed also reduced its growth forecast for 2025 to 1.70%, and sees growth below 1% in 2026.
Importantly, the Fed removed its statements that risks are balanced "
Federal Reserve Maintains Funds Rate at 4.25% to 4.50% at January 2025 Meeting "The Federal Reserve ended its January 2025 meeting without changing the Federal Funds target rate or providing much more guidance for the direction for the rest of the year.
In its unanimous statement, the Fed says that the economic conditions remain strong and the economy is progressing towards the Fed's 2% inflation target.
The Fed says it is still considering its next move. Presumably, the Fed's guidance remains towards one or two quarter-point cuts in the course of 2025. The next meeting in March "