The Fed lowers its growth projection for the US economy.

The U.S. Federal Reserve ( Fed ) lowered its economic growth projection for 2025 to 1.4% on Wednesday, a decrease of three-tenths of a percentage point compared to the 1.7% estimate made in March.

The Fed also lowered its estimates for real gross domestic product (GDP) growth for 2026 to 1.6%, two-tenths of a percentage point lower than previously projected, and lowered its projections for 2027 to 1.8%.

Unemployment

At the end of the Federal Open Market Committee's (FOMC) fourth meeting in 2025, the organization predicted that unemployment will rise slightly this year and next to 4.5% (from 4.4% and 4.3% previously), while for 2027 it projects a 4.4% increase, up one-tenth of a percentage point.

According to the Fed , inflation in 2025 will also grow by 3%, up from 2.7% projected in March.

The Personal Consumption Expenditures (PCE) Price Index—the Fed 's preferred measure of rising costs in the country—will rise 2.4% in 2026 and 2.1% in 2027, according to the report.

The U.S. Fed today again left rates unchanged at their current range of 4.25% to 4.5% and maintained the possibility of two rate cuts by the end of the year, amid pressure from President Donald Trump for the Fed to lower rates.

This Wednesday, the Republican leader redoubled his attacks on Fed Chairman Jerome Powell, accusing him of having "political" motives for not acting more quickly and whose behavior, he considered, "is costing the country dearly." EFE

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