#FOMCMeeting đĻ Whatâs Happening Now
The Federal Reserve is holding its twoâday FOMC meeting on June 17â18, 2025 .
Markets overwhelmingly expect no rate change â the federal funds target is 4.25%â4.50%, where it has sat since December 2024 .
The Fed is taking a cautious stance, citing economic headwinds from President Trumpâs tariffs, geopolitical tensions in the Middle East, and mixed U.S. data (weaker retail sales & industrial output) .
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Key Issues on the Table
Geopolitical risk â Ongoing tensions (e.g. IsraelâIran) could impact oil and inflation .
Trade/tariffs â Uncertainty is creating stagflation risks: slower growth with upside price pressure .
Inflation & labor market â Recent CPI/PPI prints are soft; unemployment sits steady (~4.2%) .