U.S. Treasury Secretary Scott Bessent said he does not expect the Federal Reserve to lower interest rates at the policy decision due later on 30 July, even as he maintained that one or two cuts remain likely before year-end. Bessent, who meets almost weekly with Fed Chair Jerome Powell, added that markets are already pricing in easing and reiterated his view that the central bank has underestimated the inflationary impact of the 145% tariff on Chinese goods that took effect in April. The Treasury chief also renewed criticism of what he called the Fed’s outsized footprint in the economy, arguing that the central bank now wields “undue influence.” His comments follow remarks last week in which he predicted the same one-to-two-cut scenario and urged the Fed to display “more imagination” in its policy approach. Separately, White House Senior Adviser Kevin Hassett underscored the administration’s respect for the Fed’s independence but said recent data are “consistent with the Fed cutting rates.” Hassett cited strong second-quarter output figures and forecast roughly 4% annualised growth for the third quarter, telling reporters he expects the central bank to “catch up” to economic conditions soon.