#FOMCMeeting The Federal Open Market Committee (FOMC) meeting is currently underway, starting on May 6 and concluding on May 7. Here's what you need to know ¹:

- *Interest Rate Decision*: The FOMC is expected to hold interest rates steady at 4.25%-4.50%. Markets predict a 97.3% probability of no rate change.

- *Tariffs and Economy*: Fed Chair Jerome Powell will likely address the impact of President Trump's tariffs on the economy. Powell has previously stated that the level of tariff increases announced so far is significantly larger than anticipated, and uncertainty could lead to a challenging scenario for the central bank.

- *Rate Cuts*: While there's a possibility of rate cuts later in the year, markets currently predict a 29.4% chance of a 25 basis point move lower at the June 17-18 Fed meeting. Some strategists expect rate cuts in July, September, and October.

- *Economic Data*: The Fed is closely watching economic data, including inflation and employment numbers. The April nonfarm payrolls report showed sustained job growth, exceeding economists' expectations.

*Key Takeaways:*

- *No Rate Change Expected*: The FOMC is likely to hold interest rates steady due to economic uncertainty and inflation concerns.

- *Tariffs Impact*: The Fed will closely monitor the impact of tariffs on the economy and adjust policy accordingly.

- *Future Rate Cuts*: The possibility of rate cuts later in the year remains, depending on economic data and the trajectory of inflation ².