The Trump administration’s tariffs so far haven’t flowed into U.S. inflation data in a big way, but that seems unlikely to move the Federal Reserve from its wait-and-see approach on interest rates as investors await the outcome of its policy meeting this week.

The central bank is waiting for clearer economic data amid uncertainty over President Donald Trump’s trade war and other policies.

The U.S. central bank held interest rates steady on Wednesday and policymakers signaled borrowing costs are still likely to fall in 2025, but Federal Reserve Chair Jerome Powell cautioned against putting too much weight on that view,