#FOMCMeeting
The **Federal Open Market Committee (FOMC)** is a key component of the U.S. Federal Reserve System, responsible for setting monetary policy, particularly through decisions on interest rates and open market operations. Here’s what you need to know about FOMC meetings:
### **Key Details of FOMC Meetings:**
- **Frequency:** The FOMC meets **eight times a year** (approximately every six weeks).
- **Participants:**
- 12 voting members (7 Federal Reserve Board Governors + 5 Reserve Bank Presidents on a rotating basis).
- All 12 Reserve Bank Presidents attend but only 5 vote at a time (New York Fed President always votes).
- **Main Policy Tool:** Sets the **federal funds rate** (the interest rate banks charge each other for overnight loans), which influences broader economic conditions.
### **Recent FOMC Decisions (2023–2024):**
- **2023:** The Fed raised rates aggressively to combat inflation, peaking at **5.25%–5.50%** in July 2023.
- **2024:** Rate cuts were anticipated but delayed due to persistent inflation. As of mid-2024, the Fed has held rates steady, signaling possible cuts later in the year if inflation cools further.
### **Upcoming FOMC Meeting (Next Key Dates):**
- **July 30–31, 2024**
- **September 17–18, 2024**
- **November 6–7, 2024**
- **December 17–18, 2024**
### **What to Watch For:**
1. **Interest Rate Decision** – Will the Fed hold, cut, or (unlikely) hike rates?
2. **Economic Projections** – Updates on GDP growth, unemployment, and inflation (released quarterly).
3. **Powell’s Press Conference** – Clues on future policy (held after every meeting since 2021).
4. **Balance Sheet Policy** – Possible changes to quantitative tightening (QT).
### **Market Impact:**
- **Stocks:** Rate cuts typically boost markets, while hikes or delays may cause volatility.
- **Bonds:** Yields move inversely to rate expectations.
- **USD:** Higher rates usually strengthen the dollar.
Would you like insights on a specific past or upcoming meeting?