The central bank remains cautious, even as calls for rate cuts grow louder from the White House and other policymakers.

Federal Reserve Chair Jay Powell has reiterated that rate decisions will be data-driven — by inflation, and employment.

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.

Federal Reserve Bank of San Francisco President Mary Daly said on Thursday the time to cut rates is nearing, without saying when she believes that should happen.

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The U.S. central bank’s decision to hold interest rates steady in June was unanimously supported, but officials were starting to splinter over the path forward.

Federal Reserve governor Christopher Waller said Thursday that the central bank should consider cutting interest rates at its July meeting, even after a strong June jobs report.

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

New tariffs unveiled by President Trump have further muddied the inflation outlook, Chicago Fed President Austan Goolsbee said, making it more difficult for him to support the rate cuts that the president has pressed for.