FOMC Press Conference July 30, 2025

WHITE HOUSE: TRUMP PROCLAMATION IMPOSES UNIVERSAL 50% TARIFFS ON IMPORTS OF SEMI-FINISHED COPPER PRODUCTS AND COPPER-INTENSIVE DERIVATIVE PRODUCTS EFFECTIVE AUGUST 1 Fact Sheet: President Donald J. Trump Takes Action to Address the Threat to National Security from Imports of Copper Today, President Donald J. Trump signed a Proclamation to address the effects of copper imports on America’s national security, including by imposing tariffs on several categories of copper imports. The Proclamation imposes universal 50% tariffs on imports of semi-finished copper products (such as copper pipes, wires, rods, sheets, and tubes) and copper-intensive derivative products (such as pipe fittings, cables, connectors, and electrical components), effective August 1. The copper 232 tariffs apply to the copper content of a product; non-copper content of a product remains subject to reciprocal tariffs or other applicable duties. These tariffs do not stack. The copper 232 tariffs do not stack with auto 232 tariffs. If a product is subject to auto 232 tariffs, then the auto 232 tariffs apply, not the copper 232 tariffs. Copper input materials (such as copper ores, concentrates, mattes, cathodes, and anodes) and copper scrap are not subject to 232 or reciprocal tariffs. The Proclamation directs the Secretary of Commerce to establish a product “inclusion” process to add copper derivative products to these tariffs. The President is also authorizing the Secretary of Commerce to take steps under the Defense Production Act to support the domestic copper industry, including: Requiring 25% of high-quality copper scrap produced in the Un

Although swings in net exports continue to affect the data, recent indicators suggest that growth of economic activity moderated in the first half of the year. The unemployment rate remains low, and labor market conditions remain solid. Inflation remains somewhat elevated. The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Uncertainty about the economic outlook remains elevated. The Committee is attentive to the risks to both sides of its dual mandate. In support of its goals, the Committee decided to maintain the target range for the federal funds rate at 4-1/4 to 4-1/2 percent. In considering the extent and timing of additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee will continue reducing its holdings of Treasury securities and agency debt and agency mortgage‑backed securities. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 percent objective. In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals. The Committee's assessments will take into account a wide range of information, including readings on labor market conditions, inflation pressures and inflation expectati FOMC STATEMENT COMPARE: pic.twitter.com/3wayLXzIBa FOMC: VOTED 9-2 FOR FED FUNDS RATE ACTION Fed Governors Waller and Bowman dissented, preferring to lower the funds rate by a quarter of a percentage point. THE FEDERAL RESERVE KEPT ITS BENCHMARK INTEREST RATE STEADY AT 4.25–4.50%, NOTING ELEVATED ECONOMIC UNCERTAINTY, SLOWING GROWTH IN H1 2025, AND PERSISTENT INFLATION. || DESPITE A STRONG LABOR MARKET AND LOW UNEMPLOYMENT, FED GOVERNORS WALLER AND BOWMAN DISSENTED, FAVORING A 25BPS…

Fed's Powell: Most measures of longer-run inflation expectations are consistent with the Fed's goal. Fed's Powell Says Tariffs Affect Some Products, But Overall Effect Is Unknown. Fed's Powell: A reasonable base case is a short-lived tariff inflation impact. Fed's Powell: Possible inflationary effects could be more persistent. Federal Reserve's Powell States Current Policy Stance Is Suitable To Protect Against Inflation Risks, Plans To Complete Policy Review By Late Summer