#FOMCMeeting
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📌 What is the Federal Open Market Committee (FOMC) meeting?
It is the meeting of the Federal Open Market Committee at the U.S. central bank (Federal Reserve), where interest rates and key monetary policies are determined.
The meeting is held 8 times a year, and the June meeting is one of the most important as it also includes the members' forecasts for the economy and interest rates (known as the "dot plot").
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🔍 What to expect from the June 2025 meeting?
Current interest rate: Between 4.25% and 4.50%, unchanged since December 2024.
Market expectations: Most analysts do not expect any change in interest rates at this meeting.
First expected rate cut: Perhaps in September, or later this year, depending on inflation developments.
Dot Plot: In March, members anticipated two rate cuts in 2025, but these expectations are likely to be reduced to just one cut due to relatively high inflation remaining.
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💬 What should be watched for?
1. Official statement: Will it show a hawkish tone towards inflation? Or a hint of upcoming easing?
2. Dot Plot: How many cuts are expected for 2025?
3. Jerome Powell's press conference: Very important to gauge the Fed's tone towards the economy and the potential timing for a rate cut.
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📊 What does this mean for you as an investor or follower?
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