#FOMCMeeting

Meeting Date and Official Broadcast

The traditional meeting will be held between June 17 and 18, 2025, which is one of the meetings related to the publication of the Economic Projections Summary (Dot Plot) for the next two years.

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💵 Interest Rate Decision

• The committee kept the federal funds rate at the range of 4.25%–4.50% for the third consecutive time without change.

• Market expectations and surveys agreed that the decision was to remain steady, with no cuts until at least September.

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🔍 Reasons for the Decision

1. Moderate Inflation Data: Consumer and producer price indices have slowed to a comfortable degree, although the impact of tariffs still carries an element of uncertainty.

2. Strong Labor Market: Despite a slight slowdown in job creation, the unemployment rate remained around 4.2%, and the performance of the labor market does not justify a rate cut.

3. Trade and Geopolitical Risks: Tariffs and trade policies along with international tensions (including escalation between Israel and Iran) slow the pace of rate cuts as it would be deemed premature.