#FOMCWatch 🛑The FOMC Watch refers to a tool or service that tracks and analyzes the probabilities of changes in interest rates by the U.S. Federal Reserve (Fed) in its upcoming meetings. This is based on the prices of federal funds futures and can help investors and analysts anticipate the decisions of the Federal Open Market Committee (FOMC) regarding monetary policy.

*What is the FOMC?*

The FOMC is a committee within the Federal Reserve responsible for setting U.S. monetary policy, including interest rate decisions. Its decisions can significantly influence the economy and financial markets.

*How does the FOMC Watch work?*

The FOMC Watch uses data from futures markets to estimate the probability of changes in interest rates at upcoming FOMC meetings. This may include¹:

- *Probability Analysis*: Estimates of the likelihood that the Fed will raise, lower, or maintain interest rates in its upcoming meetings.

- *Expectation Tracking*: Analysis of market expectations regarding future FOMC decisions and how they may affect interest rates and the economy.

*Importance of the FOMC Watch*

The FOMC Watch is important for investors and analysts because it allows them to anticipate and prepare for possible changes in monetary policy and their impact on financial markets. By understanding the probabilities of changes in interest rates, they can make informed decisions about their investments and financial strategies.