The Federal Reserve said Wednesday it was keeping its key interest rate unchanged as it continues to fight elevated inflation rates that pinch U.S. businesses and consumers. In its latest statement released Wednesday, the central bank said economic activity 'has continued to expand at a solid pace,' while job gains 'have remained strong, and the unemployment rate has remained low.
“Many more months of positive inflation data, I think, to give me confidence that it’s appropriate to dial back,” Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, told CNBC last month in an interview when asked about what it would take for interest rates to come down. But Joe Brusuelas, chief economist at RSM accounting and consultancy group, said the slowing price-growth trend is likely to continue through the summer and could lead to a rate cut as soon as this fall.