US Federal Reserve holds rates; Powell cites tariff pressuresWashington,: The Federal Reserve held interest rates steady. Chair Jerome Powell said inflation is still “somewhat elevated,” with tariffs pushing up goods prices. The Federal Open Market Committee “decided to leave our policy rate unchanged,” Powell told reporters on Wednesday (local time). The Fed kept the target range for the federal funds rate at 3.5 per cent to 3.75 per cent. “These elevated readings largely reflect inflation in the goods sector, which has been boosted by the effects of tariffs,” Powell said.