#FOMCMeeting Fed Rate Decision Coming This Week đ¨
The Federal Reserve's FOMC is set to meet on June 18, and markets are overwhelmingly expecting no rate cuts. According to CMEâs FedWatch tool, thereâs a 99.9% probability that rates will remain at 4.25%â4.50%.
Why the pause? Stubborn inflation and Trump-era tariffs may keep upward pressure on prices, while a softening job marketâwith unemployment hitting 4.2% and layoffs projected to surge by 80% in 2025âadds pressure in the opposite direction.
Although a cut this week is unlikely, markets are pricing in a 65%+ chance of a rate reduction to 4%â4.25% by September, assuming inflation eases and labor market data worsens. Still, Bank of America doesnât expect any cuts until 2026.
Whatâs your takeâwill the Fed hold firm or pivot soon?
