#FOMCMeeting
Forecasts of Decisions and Prices
The Federal Open Market Committee (FOMC) kept the target range for federal funds rate steady at 4.25%-4.50%, maintaining its position for the third consecutive meeting, indicating a temporary halt to interest rate cuts for now.
According to the CME FedWatch indicator, markets expect a 100% probability of stability in June, and approximately 60%-85% likelihood of a cut in September.
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📊 Economic Stimulus Factors
Inflation has decreased (with the Consumer Price Index, Producer Price Index, and Personal Consumption Expenditures trending down), but pressures related to tariffs and oil remain, keeping the Federal Reserve cautious.
The labor market remains strong, with the unemployment rate stabilizing around 4.2% and strong job growth, giving the Federal Reserve room to wait.
Federal Reserve officials emphasize data-driven decisions, not political influence, despite President Trump's calls for sharp interest rate cuts.
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🗣️ Federal Reserve Commentary and Dot Plot Update
In the press conference following the meeting, Chairman Powell is expected to reinforce the strong "wait-and-see" stance.
The new dot plot may show fewer interest rate cuts in 2025, reducing expectations for multiple cuts.