Fed’s Powell Is About to Defy Trump and Hold Rates Steady
From Yahoo Finance: 2025-05-04 10:38:00
The Federal Reserve faces pressure to hold rates steady amid fears of a slowdown and Trump’s calls for a cut. Powell may find relief in strong April payrolls, but US duties on imports complicate inflation progress. Global economic uncertainty prevails, with central banks navigating trade deals and tariff threats.
The ECB cuts rates as the US tariff impact looms, while euro-area inflation remains stable. The Bank of Canada shifts forecasts amid tariff disputes. US jobless claims data will indicate potential layoffs, and Canada’s new PM meets with Trump.
Monetary decisions loom in the UK, Poland, Brazil, Sweden, and Norway. The Bank of England prepares for a rate cut, Sweden and Norway remain cautious on rate moves, and Poland shifts to easing. Central banks in Eastern Europe and Africa navigate inflation and trade pressure.
Asia faces data releases on trade activity and tariffs impact, with China, Singapore, and India in focus. Monetary policy decisions in Pakistan, New Zealand, the Philippines, and Thailand will offer insights into economic conditions. China’s trade data post-tariffs will be closely watched.
Latin America sees inflation concerns in Brazil, rate stability in Peru, and policy reports from Colombia. Brazil may raise rates, Peru holds steady, and Colombia eyes further easing. Consumer price reports in Brazil, Mexico, Chile, and Colombia will gauge inflation trends.
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