The Federal Reserve announced Wednesday it will keep interest rates unchanged, defying President Donald Trump’s calls to cut them after continued positive economic indicators.

After two days of meetings, the central bank policymakers voted to keep the rate in the 4.25% to 4.50% range, where it has remained since December. Federal Reserve Chair Jerome Powell continues to point to unease around Trump’s tariffs, with more set to take effect on Friday. Last month, year-over-year inflation also rose to 2.7%, which remains above the Fed’s target of 2%.

Powell is set to take the podium for a press conference Wednesday afternoon, where he will likely provide more details on the Fed’s thinking and address the possibility of a rate cut at the next meeting in September.

The announcement is likely to set off another round of angry comments from President Trump, who has ramped up his criticism of Powell in recent weeks, regularly pushing the Fed to bring down interest rates. In a Truth Social post on Wednesday morning, Trump highlighted the “better-than-expected” second-quarter GDP report, which showed that the U.S. economy grew at a 3% rate, once again surprising economists. He referred to Powell as “Too Late.”

“2Q GDP JUST OUT: 3%, WAY BETTER THAN EXPECTED! ‘Too Late’ MUST NOW LOWER THE RATE. No Inflation! Let people buy, and refinance, their homes!” Trump wrote, using the nickname, “Too Late,” that he coined for Powell.

At least two Fed Governors, Christopher Waller and Vice Chair for Supervision Michelle Bowman, said that they support lowering interest rates and suggested they would issue dissents to the Fed’s decision on Wednesday, a move rarely taken by Fed Governors, according to Reuters.

The president met with Powell last week to discuss interest rates and tour the renovations at the Federal Reserve headquarters. During their comments in front of the cameras, Trump told reporters that he would “love” for Powell “to lower interest rates” before giving the Fed Chair a slap on the back.

Trump, with Powell beside him: I’d love him to lower interest rates.

Trump then slaps him on the back. pic.twitter.com/KPgAhPYe1F

— unusual_whales (@unusual_whales) July 24, 2025

Trump, who has referred to Powell as one of the “most destructive” people in government, said last Friday that his discussion with Powell led him to believe that the Fed was ready to lower interest rates.

“[Powell] said to me — now I don’t know if he’s going to say this … on what day he speaks — he said to me very strongly, ‘The country is doing well.’ Trump said, ‘Congratulations, the country is doing really well.’”

The president has considered firing Powell, reportedly drafting a letter and asking House Republicans if he should move forward with terminating the Fed Chair, which would be an unprecedented move. Trump later said that he would wait for Powell’s term as the Chair to expire in early 2026 before choosing his replacement.