In June, the interest rate decision was announced to maintain the current interest rate without a cut, which aligns with the basic expectations. The dot plot revealed the result of two rate cuts in 2025, though the expected reduction has decreased from 125-150 basis points at the beginning of the year to 100 basis points.

The FOMC's current economic outlook anticipates a slowdown in economic growth, persistent inflation, and a more relaxed employment market.

The Board members decided to continue with the current high interest rate policy, but the dot plot indicates that the votes for maintaining high rates align with those for the lowest rates, showing internal disagreements within the Federal Reserve regarding interest rate adjustments.

Overall, aside from the reduction in the expected cut from 125-150 basis points to 100 basis points, the situation generally meets market expectations and has a minimal impact on the market.

However, the detailed content in the PDF shows that the FOMC members have a clearer expectation for the process of inflation moderation, believing that the pace of future inflation decline will be slower, which increases tolerance for subsequent high inflation persistence.

It's necessary to mention that Federal Reserve officials believe the current economy is consistent with a 'soft landing,' and there is currently no risk of economic recession.