Svmuu News The Federal Reserve kept interest rates unchanged on Wednesday and projected that inflation will rise and the unemployment rate will remain stable, with only one rate cut expected this year. Officials made these projections while assessing the risks to the U.S. economy from the war between Israel and Iran. The new projections show that by the end of this year, the Fed will only cut rates by 0.25 percentage points, with no specific timing mentioned for this move. This view is consistent with previous forecasts and contradicts Trump's call for significant rate cuts. The Fed statement said, "The impact of developments in the Middle East on the U.S. economy remains uncertain." The statement also noted that the unemployment rate is currently stable. The new interest rate and economic projections indicate that the Fed has largely factored out the impact of the oil crisis. Policymakers still expect to lower interest rates this year and project that the inflation rate will reach 2.2% by the end of 2027, close to the central bank's 2% target. Notably, no policymakers believe that interest rates need to be raised further by the end of this year, although one official expects one rate hike by 2027. (Jin10)