The US Federal Reserve (Fed) was somewhat more confident about the global economy and, as expected, left key interest rates unchanged. Fed Chairman Jerome Powell also sees progress in trade talks between the US and China. Despite the somewhat more confident stance, Powell reiterated that the Fed's monetary policy stance is currently appropriate and that there is currently no need to change key rates.
The minutes of the US Federal Reserve's last monetary policy decision on March 20 confirmed the Fed's wait-and-see attitude. There are still "significant uncertainties" in the economic outlook, and latest US inflation data will probably not put pressure on the Fed to raise key interest rates again in the near future. ECB President Mario Draghi continues to see growth risks for the euro zone and recent economic data have confirmed that the pace of growth in the euro area is slowing. Nevertheless, the likelihood of a recession remains low.