#FOMCMeeting
Decision of the Federal Reserve on interest rates this week 🚨
The Federal Reserve System (FOMC) will meet on June 18, and the market is betting heavily that there will be no interest rate cut. The CME FedWatch Tool shows a 99.9% probability that interest rates will remain at 4.25%-4.50%. Why? Persistent inflation and Trump's tax levels may keep prices high, while the weakening labor market (unemployment rate at 4.2%, layoffs reaching 80% by 2025) supports a rate cut.
Although currently unlikely, the probability of a drop to 4%-4.25% in September exceeds 65% if inflation decreases and the job situation worsens. However, Bank of America predicts that a rate cut will not occur until 2026.
