#FOMCMeeting

The Federal Open Market Committee (FOMC) is currently holding its scheduled two-day policy meeting on May 6–7, 2025. The outcome, including any decisions on interest rates, will be announced on Wednesday, May 7, at 2:00 p.m. ET (11:00 p.m. PKT), followed by a press conference with Federal Reserve Chair Jerome Powell.

🏦 Current Expectations

The Fed is widely expected to keep the federal funds rate unchanged at 4.25%–4.50%, maintaining the level set in December 2024. This decision comes amid mixed economic signals:  

• GDP: Contracted by 0.3% in Q1 2025.

• Jobs: April saw 177,000 new jobs added, indicating a resilient labor market.

• Inflation: Annual inflation rose to 2.6% in March, slightly above the Fed’s 2% target.   

Despite calls from President Trump and some investors for rate cuts to stimulate growth, the Fed remains cautious due to inflationary pressures from recent tariff policies and potential stagflation risks. 

🔮 Market Outlook

While a rate cut is unlikely at this meeting, futures markets suggest a potential easing cycle could begin as early as July 2025, depending on economic developments. Analysts are closely watching for any signals from Chair Powell during the press conference that might indicate future policy shifts. 

For more detailed information, you can visit the Federal Reserve’s official calendar.