Prices are now projected to rise faster than expected at least in part and perhaps largely due to Trump's plans to levy duties on imports from U.S. trading partners, Fed Chair Powell said.

The Federal Reserve was widely expected to leave interest rates unchanged on Wednesday, at the conclusion of its March meeting.

Mortgage rates rose this week as lenders steel themselves against a foggy economic future. The Federal Reserve predictably voted to hold the federal funds rate steady during central bankers’ March 19 meeting and spoke of a need for more solid data before making policy shifts.