For now, consumers can't bank on lower borrowing costs for their mortgages, car loans and credit cards.
WASHINGTON (NEXSTAR) -- For now, consumers can't bank on lower borrowing costs for their mortgages, car loans and credit cards. The Federal Reserve announced Wednesday that interest rates won't cool yet because inflation is still too hot.
"The path forward is uncertain," said Fed Chair Jerome Powell.
Interest rates currently sit at 5.3%, a 23-year high.
"It's unlikely that the next policy rate move will be a hike," Powell said.
But Greg McBride, the chief financial analyst at Bankrate, said don't expect an interest rate cut any time soon either.
"Until we get better and consistently better numbers on the inflation front, the Fed is not going to have the necessary confidence," McBride said.
The Fed's decision comes after three straight stubborn inflation reports, showing prices still well above the Fed's 2% target.
"Last week, we saw numbers showing clearly that the economy is crashing," former president Donald Trump said during a campaign rally in Wisconsin Wednesday. "We're now in a Biden stagflation."
But White House Press Secretary Karine Jean-Pierre said the Fed makes these decisions on its own.
"The Federal Reserve's independence is good for economics," Jean-Pierre said. "It benefits workers, it benefits families, it benefits businesses."
The Fed meets next in June.
