⛔ Urgent Warning, the market will experience strong volatility today and tomorrow (Especially long-short brothers)
📅 Meeting time and content
Meeting date: May 6–7, 2025
Decision publication time: 2:00 AM on 8/5 according to Hanoi time
Press conference of President Jerome Powell: 2:30 AM on 8/5 according to Hanoi time
📊 Economic outlook and interest rate decision
Current interest rate: 4.25%–4.50% (held since December 2024)
Recent economic data:
Previous quarter GDP: Decrease of 0.3%
Employment: 177,000 jobs were created in April
Inflation: The core PCE index increased by 2.6% compared to the same period last year
Despite the decline in GDP, the labor market remains stable. However, President Trump's new fiscal policies have raised concerns about the possibility of recession. The Fed is expected to maintain the interest rate at this meeting and may consider cuts later in the year, depending on further economic developments.
💬 Market reaction
Gold price: Increased to its highest level in two weeks, reaching 3,357.63 USD/ounce, due to safe-haven demand and the weakening of the USD.
Bond market: Short-term bond yields are decreasing, reflecting market expectations about the possibility of interest rate cuts in the future.
Stocks: The S&P 500 index fell after a nine-day streak of consecutive increases, as investors await signals of
🕵️♂️ Expert predictions
President Jerome Powell: He is expected to maintain a cautious stance, emphasizing inflation control and labor market stability.
Market expectations: Some analysts foresee that the Fed could start cutting rates as early as July or December, depending on upcoming economic data.
