#FOMCMeeting #Binance
A state of caution and anticipation prevails in the markets ahead of the Federal Open Market Committee (FOMC) meeting scheduled for June 17-18, 2025, amid an economic environment fraught with geopolitical tensions and ongoing inflationary pressures. The committee is expected to keep interest rates unchanged in the range of 4.25%-4.50%, continuing its wait-and-see approach to assess the impact of recent actions, particularly the new tariffs imposed by the Trump administration, which have contributed to rising costs of imported goods and increased price pressures.
Inflation remains below target, but is slowing insufficiently, at a time when the labor market shows signs of weakening through rising unemployment claims and a slowdown in hiring pace. These contradictions have prompted the Fed to exercise caution before deciding to cut rates, despite increasing market expectations that the first cut may occur in September or December, depending on upcoming economic data.
Markets are also closely following the expected updates on the interest rate projections (dot plot), which may reveal a reduction in the number of rate cuts anticipated for this year. Meanwhile, statements expected from Federal Reserve Chair Jerome Powell during the press conference are a focal point of interest, as they are expected to outline the monetary policy for the upcoming phase, especially in light of ongoing tensions in the Middle East ...