Wall Street Unfazed as Fed Keeps Rates Steady Amid Global Tensions

In an eventful day on Wall Street, major indexes remained stable as the Federal Reserve opted to keep interest rates unchanged. The decision came amidst ongoing geopolitical tensions, specifically the escalating Israel-Iran air conflict which has driven oil prices higher due to concerns over supply disruptions.

Chair Jerome Powell's much-anticipated address pointed out that U.S. consumer goods prices are expected to rise under the influence of President Trump's tariffs. Despite signaling potential borrowing cost reductions this year, Powell emphasized the data-driven nature of the Fed's future decisions.

Geopolitical developments took center stage, with Iranian Supreme Leader Ayatollah Ali Khamenei dismissing President Trump's demand for surrender. Meanwhile, U.S. Treasury yields saw volatility, partly due to inflation forecasts and heightened demand for safe-haven debt amid fears of regional conflict.

(With inputs from agencies.)