Core Viewpoint - The Federal Reserve's decision to maintain interest rates on July 30 has sparked significant uncertainty in the market, with questions surrounding future rate cuts and the political pressures faced by Chairman Powell [1][3][5] Group 1: Federal Reserve's Position - The Federal Reserve has maintained interest rates for the fifth consecutive time, reflecting internal divisions among decision-makers, which is unprecedented in 32 years [1][6] - Chairman Powell emphasizes the importance of data-driven decisions, indicating that inflation has not fully returned to target levels, and that premature rate cuts could pose new risks [5][6] - The ongoing debate has evolved into a broader discussion about the governance of the U.S. economy, highlighting the tension between short-term economic stimulus and long-term stability [1][7] Group 2: Political Pressures - President Trump has been exerting pressure on the Federal Reserve for months, arguing that high interest rates hinder economic recovery, particularly affecting low- and middle-income groups [5][6] - Trump's public criticisms of Powell and the Fed's actions have intensified, framing the situation as a direct confrontation between the presidency and the central bank [5][7] - The political context is critical, as 2025 is an election year, and economic performance is closely tied to voter sentiment, prompting Trump to push for rate cuts to bolster public support [6][7] Group 3: Market Reactions - Market participants are caught in a dilemma, trying to interpret the conflicting signals from the Trump administration and the Federal Reserve, leading to increased uncertainty [6][7] - The volatility in key economic indicators such as consumption, employment, and investment has left the market yearning for clear signals from the Fed, but each meeting has resulted in a status quo [6][7]