The Fed's rate-setting committee is scheduled to meet later this week as Trump continues to push for looser monetary policy.

Federal Reserve is likely to leave key interest unchanged and avoid hints on whether a September cut is likely amid tariff uncertainty, Trump pressure

Economists are also watching out for whether the central bank will adjust the target for inflation, which for now remains within a 3-6% target band

The Federal Reserve cut interest rates in 2024 after having raised them 11 times throughout 2022 and 2023 to combat inflation, but savings rates still haven't substantially declined.

"We’re likely to see interest rates cut again in August as the Committee maintains its pace of one 25bps cut per quarter.” The report forecasts inflation to average 3.4% in 2025, higher than the 3% predicted in April, driven in part by rising energy bills and the recent hike in the National Living Wage and National Insurance costs for employers.

The Monetary Policy Committee will make another interest rate decision this week, with economists unsure if a cut will take place.

The Bank of Canada on Wednesday is likely to keep interest rates unchanged at 2.75% for the third time, economists and market analysts predict, as firm core inflation and robust job growth lessen the urgency to ease rates.

The Bank of England has hinted at further interest rate cuts, which could come as soon as August. It decided to keep rates at 4.25% on Thursday with inflation, the rate prices rise at over time, remaining at its highest level for more than a year and above the Bank's target rate.