The Federal Reserve is set to leave its key interest rate unchanged Wednesday as it seeks to guide the U.S. economy toward a “soft landing" of cooling inflation without triggering a deep recession.
Chair Jerome Powell and other Fed officials have made clear that they're now inclined to move more gradually and cautiously toward their goal of 2% annual inflation. Their more deliberative approach follows the 11 rate hikes they unleashed beginning in March 2022, which substantially raised borrowing costs for consumers and businesses.
