#FOMCMeeting The Federal Open Market Committee (FOMC) is currently holding its scheduled meeting on May 6–7, 2025. The policy decision will be announced on Wednesday, May 7, at 2:00 p.m. Eastern Time (11:00 p.m. Pakistan Standard Time) .

What to Expect

Despite calls from President Trump and some investors for interest rate cuts, the Federal Reserve is widely expected to maintain the current federal funds rate at 4.25%–4.5%. This cautious stance is due to ongoing inflationary pressures, particularly from new tariffs, and mixed economic indicators such as a 0.3% GDP contraction in Q1 and rising jobless claims .

Fed officials, including Chair Jerome Powell, have emphasized a patient approach, suggesting that any potential rate cuts are unlikely before July. Analysts are now looking toward the July or September meetings as more probable windows for policy easing .

Market Implications

Financial markets have been buoyant ahead of the meeting, with major indices like the S&P 500 experiencing a nine-day rally. However, if the Fed holds