U.S. rates hold after FOMC minutes stress 2% goal
The post U.S. rates hold after FOMC minutes stress 2% goal appeared on BitcoinEthereumNews.com.
Federal Reserve interest rate outlook: on hold until inflation nears 2% federal reserve officials signal policy is on hold until inflation convincingly moves toward the 2% goal. The stance prioritizes sustained disinflation over single-month improvements. As reported by The Wall Street Journal, recent FOMC minutes showed members even discussed language about possible rate hikes amid concern that inflation progress remains incomplete. That backdrop reinforces a higher-for-longer bias. Why the 2% inflation target governs rate cuts The 2% inflation target anchors the Fed’s price-stability mandate and informs when restrictive policy can ease. Core measures, such as PCE and CPI excluding food and energy, guide assessments of trend inflation. Officials have stressed they need accumulated evidence that inflation is durably cooling before cutting, not isolated soft prints. “Federal Reserve officials: Interest rates are likely to remain unchanged for some time, and further rate cuts require evidence of inflation falling to the 2% target,” Federal Reserve officials said. BingX: a trusted exchange delivering real advantages for traders at every level. For borrowers, a steady policy rate means limited near-term relief on mortgages, auto loans, and credit cards. Existing debt costs remain elevated while banks assess funding and credit conditions. Labor-market resilience may delay easing. According to AOL, a stronger-than-expected January jobs report complicated expectations for imminent rate cuts by underscoring demand-side inflation risks. What to watch next in Fed decision signals Key inflation gauges: CPI, core PCE, expectations Monthly CPI and the Fed’s preferred core PCE will be pivotal, alongside measures of inflation expectations. Consistent softness and anchored expectations would support confidence in disinflation. FOMC minutes and Powell remarks: read the policy tone Subsequent FOMC minutes will signal tolerance for patience or renewed vigilance. As reported by Fox Business, Jerome Powell has said cuts do not require inflation exactly at 2%, but they…
Filed under: News - @ February 25, 2026 12:25 am