The newly published meeting minutes highlighted a divide over how Federal Reserve officials expect the economy to respond to President Donald Trump's tariffs.

The right to freedom of speech allows Trump to make demands of the Fed to his heart's content. But legally, he cannot compel the central bank to lower its benchmark interest rate. The Fed has the right to act independently, and its aim is to promote a healthy and stable economy by keeping inflation in check.

Trump hopes to get lower rates by replacing Fed Chair Jerome Powell with someone who would do what the president wants. But Powell’s term as chair does not end until May 2026. He’s insisted he won’t resign early.

Historically high interest rates and falling late-payment rates suggest that credit card issuers are tightening their underwriting standards amid economic uncertainty.

Fannie Mae now expects rates around 6.5% by the end of 2025 and 6.1% by the end of 2026.

Recent national and global surveys of business executives have highlighted the U.S. Federal Reserve's dilemma in determining if slowing growth or inflation is the greater risk to the U.S. economy, with interest rate decisions hinging on how policymakers reconcile conflicting information in a still volatile trade environment.

The research, co-authored by New York Fed President John Williams, tracks how the risk of reaching the zero lower bound—the point where interest rates are at or near zero—has changed over time. It turns out that the probability tends to rise when economic uncertainty increases.

The U.S. economy added 147,000 jobs in June, beating analyst expectations, the Bureau of Labor Statistics reported.