Bank of Japan Eyes Further Rate Hikes Amid Middle East Tensions and Inflation Pressures 
Federal Reserve Probes Big Banks Over Private Credit Exposure Amid Growing Systemic Risk Concerns 
Bank of Korea Nominee Shin Hyun-song Calls for Flexible Monetary Policy Amid Iran War Risks 
Bank of Japan Officials Signal Continued Interest Rate Hikes Amid Inflation Concerns 
India's Central Bank Holds Rates Amid Iran War Energy Shock 
Bank of Japan's Ueda Flags Low Real Interest Rates as Key Factor in Rate Hike Timing 
Bank of America Maintains Forecast for Two Fed Rate Cuts in 2026 Despite Inflation Risks 
Australia Bans Card Payment Surcharges Starting October 2025 
RBI Holds Interest Rates Steady Amid Middle East Tensions and Global Uncertainty 
ECB Warns of Rising Inflation Risks Amid Iran War Energy Shock 
Bank of Japan Governor Signals Accommodative Stance Amid Negative Real Rates 
Citigroup Delays Fed Rate Cut Forecast Amid Strong Jobs Data and Inflation Concerns 
The Federal Reserve FOMC left interest rates flat at 4.25%-4.5% in its January meeting, the minutes released on February 19, 2025, indicated. The committee voted on this by a unanimous vote. The Fed awaits further progress toward inflation before acting on the target range. Policy actions, for example, in the form of tariffs, are feared by the officials to be over the 2% target to leave inflation.
FOMC members were upbeat in their expectations of the economy, which they attributed to optimism about ease of government regulations and changing tax policies. Concurrently, the committee acknowledged the risk to the inflation projection, for instance, to changing trade and immigration policies. Specifically, the minutes indicated worries about President Trump's tariffs and their potential impact on inflation. Firms would pass on higher input costs due to potential tariffs to customers.
The Fed will meet again on March 18-19, 2025. Market predictions are anticipating a potential 0.25% July rate reduction.
