#FOMCMeeting
🏦 Key Highlights
1. Interest rate decision
0-2Held steady at 4.25%–4.50%, as widely expected .
2. **Updated “dot plot”**
Fewer rate cuts penciled in for 2025 compared to March.
381-2Market odds now suggest the first cut could be in September, though some foresee July .
3. Economic overview
618-0Inflation has cooled but concerns remain over rising tariff-induced pressure and oil volatility .
793-0Mixed data: a drop in retail sales and industrial output raises growth concerns .
4. Fed’s communication tone
913-1Described as cautious and data-dependent; officials emphasized they want more clarity on how tariffs, labor indicators, and global risks will impact inflation .
1160-0No decisiveness to cut rates immediately—political pressures, including from Trump, have not shifted their stance .
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🔍 Market & Asset Class Impacts
1324-0Bond markets: Leaning toward 1 or 2 rate cuts by year‑end; front‐end yields benefitting .
1493-0Equities: Slight pressure in short-term, with S&P 500 dipping on trade/inflation jitters .