#FOMCMeeting
The FOMC meeting is a crucial event in the financial world, where the Federal Open Market Committee discusses and sets monetary policy for the United States. Here's what's important to know ¹ ²:
- *What is FOMC?*: The Federal Open Market Committee is a branch of the Federal Reserve that decides on the monetary policy of the United States, influencing interest rates, money supply, and overall economic stability.
- *Meeting Schedule*: The FOMC meets eight times a year, approximately every six to eight weeks, with meetings typically spanning two days. The next meeting was scheduled for June 17-18, 2025, and has likely concluded by now.
- *Interest Rate Decision*: During the meeting, the FOMC announces its decision on U.S. interest rates, followed by a press conference led by the Federal Reserve Chair, Jerome Powell. The current federal funds rate is 4.25%-4.50%, and the median projection among FOMC participants anticipates a rate of approximately 3.6% by the end of 2025.
- *Market Impact*: The FOMC meeting affects various markets, including:
- *Forex*: Interest rate changes impact the US dollar, the world's most traded currency.
- *Indices*: Higher rates tend to be bad for shares, while lower rates can be a boon.
- *Bonds*: US bonds are often directly affected by interest rate changes.
Some key people to watch in the FOMC include ³:
- *Jerome H. Powell*: Chairman of the Federal Reserve Board of Governors
- *John C. Williams*: Vice Chairman of the Federal Reserve Board of Governors and President of the Federal Reserve Bank of New York
To stay updated on the latest FOMC news and analysis, you can visit websites like FXStreet or CME Group's FedWatch tool, which tracks the probabilities of changes to the Fed rate ³ ⁴.
