FOMC Holds at 4.25–4.50%; Powell Signals Patience

The FOMC unanimously held the federal funds rate at 4.25–4.50% at its first 2025 meeting. Chair Powell noted solid growth, an unemployment rate of 4.1%, and core PCE at 2.8% — still above target. Powell emphasized the Fed's patience and data-dependence, noting it was not in a hurry to adjust policy. The pause reflected uncertainty about the incoming administration's tariff agenda.