#FOMCMeeting

The Federal Open Market Committee (FOMC) meeting is scheduled for May 6-7. Here's what you need to know¹:

- *FOMC Decision*: The Fed is expected to hold the federal funds rate steady at 4.50%, with market focus on future rate moves and potential volatility in USD and financial markets.

- *Economic Projections*: Investors will be watching for hints on the economic outlook, inflation, and employment.

- *Rate Cuts*: The Committee's Summary of Economic Projections (dot plot) will provide insight into potential rate cuts this year.

- *Market Impact*: The meeting's outcome could significantly impact USD valuation, investor sentiment, and trading strategies.

Some key takeaways from the previous FOMC meeting include²:

- *Interest Rate Decision*: The Committee left the federal funds rate unchanged at 4.25%-4.50%.

- *Economic Outlook*: The Committee noted uncertainty around the economic outlook and increased inflation expectations for 2025.

- *Balance Sheet*: The Fed will slow the pace of decline of its securities holdings, reducing its holdings of U.S. Treasury securities to $5 billion per month.