Karla Barker 
The U.S. Federal Reserve kept its benchmark interest rate unchanged at 3.50%-3.75% on Wednesday, as markets had fully anticipated. This marks the fourth consecutive meeting without a rate adjustment. Officials remain cautious, balancing persistent inflation risks against signs of slowing economic growth.
In its policy statement, the Fed said it will continue to assess incoming data, the evolving outlook, and the balance of risks before making further changes. The decision was not unanimous. Four members dissented: one dovish vote and three hawkish ones. Governor Stephen Mirran wanted a 25-basis-point rate cut. Beth Hammack, Neel Kashkari, and Lorie Logan preferred holding rates steady while removing any easing bias.
Bitcoin and stocks under pressure
Bitcoin traded about 0.5% lower over the past 24 hours, just below $96,000. U.S. stocks also edged down modestly, with the Nasdaq falling 0.35%. The market reaction was relatively subdued, perhaps reflecting how widely expected the decision was.
Powell’s final bow
This meeting is likely to be the last chaired by Jerome Powell. His term as chairman ends on May 15. His replacement, Kevin Warsh, passed a Senate Banking Committee vote earlier Wednesday, clearing the way for him to take over. Traders are now waiting for Powell’s post-meeting press conference for clues on the next steps for monetary policy.
Oil prices complicate the picture
Oil prices have rebounded to near post-war highs. West Texas Intermediate crude is trading just shy of $105 per barrel. Earlier this month, prices had pulled back sharply on hopes of a lasting peace between the U.S. and Iran. But that optimism seems to have faded.
Higher energy costs naturally push headline inflation numbers up. They can also weigh on economic activity. That puts the Fed in a tricky spot. Which mandate takes priority: controlling prices or supporting growth? That question may be central to the next chairman’s tenure.