The Federal Reserve held interest rates steady Wednesday and kept its forecast for two cuts in 2025 as officials struggled to respond to the double-barreled threats spawned by President Donald Trump’s widening trade war – rising inflation and a slowing economy.

The Fed meets eight times a year to assess the economy's health and set monetary policy, primarily through changes to the federal funds rate, the benchmark interest rate US banks use to lend or borrow money overnight.

A new set of economic projections will give the clearest sense to date of how officials think President Trump’s agenda will impact the economy.