Federal Reserve holds rates steady, but could cut them later this year

(The Center Square) – Federal Reserve officials agreed to hold interest rates steady on Wednesday but suggested they could cut them later this year.

"Despite elevated uncertainty, the economy is in a solid position," Federal Reserve Chairman Jerome Powell said.

Earlier in the day, President Donald Trump again called Powell "not a smart person" and said Powell was "too late" to cut interest rates. The president also said he was looking forward to the end of Powell's tenure at the Federal Reserve.

"Now we have a man who just refuses to lower the Fed rate – just refuses to do it," Trump said Wednesday morning before Powell's news conference. "And he's not a smart person. I don't even think he's that political, I think he hates me, but that's OK. He should. I call him every name in the book trying to get him to do something."

Trump said he wanted rate cuts to make it easier for the U.S. Treasury to issue less expensive long-term debt.

The Federal Open Markets Committee kept the central bank's federal funds rate at a target of 4.25% and 4.5%.

"For the time being, we're well positioned to wait to learn more about the likely course of the economy," Powell said during the news conference.

Trump has repeatedly called on the Federal Reserve to lower interest rates, but the president has limited authority over the independent agency.