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Fed keeps interest rates unchanged despite Trump's call to ‘drop immediately'

1. Federal Reserve keeps interest rates unchanged, expected by 99.5% of investors. 2. Inflation decreased to 2.9%, but remains above Fed's 2% target. 3. Trump pressures Fed for rate cuts; historical criticism of Powell continues. 4. Strong labor market complicates potential for future Fed rate cuts.

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FAQ

Why Neutral?

Current rates staying unchanged are largely priced in already. Historical precedents show that rate stability often results in market neutrality.

How important is it?

Fed decisions are critical for economic outlook, directly affecting stock market sentiment.

Why Short Term?

Immediate market reactions may occur but are often transient. Previous Fed meetings have shown short-lived impacts in similar scenarios.

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