United States of America

Fed Holds Rates Steady Amid Iran Oil Shock

Are steady rates a responsible data-driven decision or a reckless betrayal of struggling Americans?

Published 2 hours ago

Fed Holds Rates Steady Amid Iran Oil Shock

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Above: Federal Reserve Chair Jerome Powell speaks during a press conference in Washington, D.C. on March 18. Image credit: Anna Moneymaker/Getty Images

The Spin

Pro-establishment narrative

Holding rates steady at 3.5% to 3.75% is the right call amid the uncertainty in the Middle East and rising oil prices. Cutting now would be reckless, especially given that core PCE inflation is already running at 3% and near-term inflation expectations are rising. The Fed is doing exactly what a responsible central bank should — waiting for the data before making any commitments.

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Establishment-critical narrative

The Fed's decision to once again defy U.S. President Donald Trump's reasonable demand for rate cuts is a slap in the face to everyday Americans who need relief now. This latest insult is yet further proof that Powell has politicized the institution and can't leave soon enough. Keeping rates frozen in this manner while working people continue to struggle is exactly why the Fed has lost credibility.

Nick Sortor on X

Eric Daugherty on X