(Reuters) – Vice Chair Philip Jefferson of the U.S. Federal Reserve hinted on Wednesday that the central bank may maintain its current policy rate until the consequences of the Trump administration’s actions on tariffs, immigration, deregulation, and taxes become clearer. Despite implementing 100 basis points of rate cuts in the latter part of 2024, Jefferson noted during a discussion with students at Swarthmore College that the Fed’s policy continues to be restrictive, placing downward pressure on inflation.
“We are willing to exercise patience and assess the overall impact of any policy changes made by the current administration,” Jefferson stated.
(Reporting By Dan Burns; Editing by Sandra Maler)
