🏛️ #FOMCMeeting — Fed Holds Steady Amid Global Headwinds

On June 17–18, 2025, the Federal Open Market Committee made a key announcement: benchmark interest rates remain at 4.25%–4.50%—marking the fourth consecutive hold since December 2024

🔍 What You Need to Know:

Rate Pause Confirmed

The Fed maintained its key rate unchanged at 4.25%–4.50%, signaling a cautious "wait-and-see" stance amid persistent inflation and global uncertainty

2025 GDP growth projected at just 1.4%, down from 1.7%.

Unemployment expected to rise to around 4.5%.

Core inflation seen hovering near 3.0–3.1%, above the 2% target

Federal Dot Plot Signals

Most officials hint at two quarter-point rate cuts in 2025, but internal division is growing—at least 7 members see no cuts at all, citing inflation and tariffs

Risk Factors Cited

Chair Powell emphasized that trade tariffs, Middle East tensions, and sticky inflation are key headwinds to monitor

📊 Market & Global Reactions:

Dollar strength surged as investors fled to safe assets amid global instability—especially amid Israel‑Iran conflict tensions .

Stocks showed muted reactions; bond yields dropped slightly, with the two-year Treasury yield slipping toward 3.9%

🕒 What’s Next:

September is now eyed as the earliest likely date for any rate cut—markets had been discounting earlier action, but recent outlook adjustments pushed timelines back .

Bank stress test results will drop on June 27, which could influence Fed sentiment

“Fed just held rates at 4.25–4.50% for the 4th time—economy slowing, inflation still near 3%, & markets eye September cuts. Trump’s tariff talk and Mideast tensions are adding pressure. Crypto watchers: dollar strength = more volatility ahead. Follow for real-time macro + crypto insight! #FOMCMeeting #Salma6422 #CryptoMarkets #DeFiNews