Overview

• The Federal Reserve kept its benchmark interest rate unchanged at 4.25%–4.50%, citing inflation concerns and economic uncertainty.
• Consumer borrowing costs remain elevated, with average credit card rates exceeding 20% and 30-year mortgage rates at 6.91%.
• New tariffs imposed in April 2025 could raise prices by up to 3%, costing households an estimated $4,900 annually, according to Yale Budget Lab.
• Financial markets estimate a 72% probability of a Fed rate cut by the end of July 2025, reflecting expectations of slowing economic growth.
• Top-yielding online savings accounts offer an average return of 4.5%, providing savers with attractive real returns despite inflation pressures.