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Federal reserve holds interest rates steady, signals two cuts this year amid economic uncertainty

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The Federal Reserve kept interest rates unchanged, indicating potential future cuts. Economic growth is slowing, and inflation persists above the 2% target, currently at 2.5%. Tariffs are influencing inflation through higher import costs. The Fed will reinvest more in Treasury securities to stabilize markets. Consumer sentiment is cautious as inflation may rise to 3% by year-end, driven by import taxes.
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