#USHouseMarketStructureDraft After the FOMC (Federal Open Market Committee) meeting today, May 6-7, 2025, several things that may happen are¹:

- *Interest Rate Decision*: The Federal Reserve is likely to keep interest rates steady in the range of 4.25%-4.50% due to high economic uncertainty in the U.S. resulting from the trade tariffs implemented by the Trump administration.

- *Impact of Trade Tariffs*: Economists estimate that trade tariffs will affect the economy, although the scale is still uncertain. This forces the Fed to balance between the risks of higher inflation and slowing economic growth.

- *Potential Interest Rate Cuts*: Markets predict that the Fed may cut interest rates at the next meeting, with a possible cut in July. However, some analysts believe that rate cuts may happen more slowly if "hard" economic data does not show significant signs of weakness.

In the coming months, the Fed must consider several factors, including²:

- *"Hard" Economic Data*: Economic data that reflects real economic performance, such as GDP growth and inflation, will be a primary focus for the Fed in making monetary policy decisions.

- *"Soft" Economic Data*: Economic data based on sentiment and expectations, such as consumer and business surveys, will also be considered but with less weight.

- *Economic Uncertainty*: High economic uncertainty due to trade tariffs and ongoing trade negotiations requires the Fed to be cautious in making monetary policy decisions.