Reported 2 days ago
The Federal Reserve has kept interest rates unchanged at 4.25-4.5% for the second consecutive meeting, while also raising its inflation target from 2.5% to 2.8%, largely due to potential influences from tariffs under Trump's administration. Despite concerns about economic growth, which has been lowered to 1.7% for 2025, the stock market responded positively, with financial sector stocks, especially regional banks, showing increased performance. However, banks are expected to face ongoing challenges with high funding costs and a subdued lending environment for the foreseeable future.
Source: YAHOO