Fed keeps rates unchanged but signals possible hike this year

The Federal Reserve's decision to maintain current interest rates marks a significant moment as the economy navigates persistent inflation pressures. Despite the pause, policymakers hinted at a potential rate increase later this year, reflecting their intent to manage inflationary risks. This move underscores the Fed's cautious approach in balancing economic growth with the need to control rising prices, signaling a shift that could impact borrowing costs and consumer spending.