The US Fed announced on Wednesday that it left the policy rate, federal funds rate, unchanged at the range of 4.25%-4.5% following the March meeting. This decision came in line with the market expectation.
United States (US) Federal Reserve (Fed) Governor Christopher Waller said on Friday that he preferred to continue the current pace of balance sheet decline at this week's meeting, per Reuters.
New York Federal Reserve President John Williams said on Friday that the current modestly restrictive monetary policy is "entirely appropriate," as reported by Reuters.
In an interview with CNBC on Friday, Federal Reserve (Fed) Bank of Chicago President Austan Goolsbee said that they have to wait for things to clear up when there is a lot of uncertainty.
The Federal Reserve (Fed) announced on Wednesday that it has kept its Federal Funds Target Range (FFTR) unchanged at 4.25%–4.50%, in line with broad market expectations. This decision follows the 25 basis point rate cut in December as the Fed continues to navigate the delicate balance between supporting economic growth and managing inflation.
The US Federal Reserve (Fed) announced on Wednesday that it lowered the policy rate, federal funds rate, by 25 basis points to the range of 4.25%-4.5% following the December meeting.
In line with market expectations, the Federal Reserve lowered its Fed Funds Target Range (FFTR) by 25 basis points at its meeting on Thursday. This decision comes after a 50 basis point cut at the September 18 meeting.
EUR/USD is trading under 1.0800, holding the recovery from three-week lows in European trading on Thursday. The pair defends gains amid sustained US Dollar softness as traders digest latest tariff threats from US President Trump. Traders also resort to repositioning ahead of Friday's US PCE inflation data.
Gold price sprints higher on Thursday, gaining around 0.70% gains, trading at $3,040 at the time of writing. The pop in the precious metal was infused by U.S. President Donald Trump, who issued fresh new tariffs. Trump signed a proclamation for a 25% tariff on auto imports on Wednesday.
Tariffs are yet again dominating market sentiment. European stocks have opened sharply lower after President Trump announced a 25% levy on imports of cars and car parts coming into the US.
GBP/USD trades with positive bias above 1.2900 in Thursday’s European session. The pair holds the uptick amid persistent US Dollar weakness as fresh Trump tariff threats rekindle US economic slowdown concerns. Focus remains on tariff updates and mid-tier US data.
Curve DAO (CRV) price extends its gains by 8% and trades above $0.58 at the time of writing on Thursday, rallying over 15% so far this week.
With a pre-set regularity, a nation's central bank holds a monetary policy meeting where board members take different measures, the most relevant one setting the range of the federal funds rate, which greatly influences the interest rate charge on loans and advances to commercial banks.
In the US, the Federal Open Market Committee (FOMC) of the Federal Reserve (Fed) meets at intervals of five to eight weeks to announce their latest decisions. An interest-rate hike increases borrowing costs throughout the economy. This results in a stronger US Dollar (USD) as it makes the US a more attractive place for international investors. A rate cut, on the other hand, tends to weaken the USD.
If rates remain unchanged, the attention, main news and analysis turn to the tone of the monetary policy statement and the press conference from the Fed’s Chair. Markets analyze whether the tone is hawkish or dovish over future developments of inflation.
The Federal Reserve (Fed) is the central bank of the United States (US) and it has two main targets: to maintain the unemployment rate at its lowest possible levels and to keep inflation around 2%. The Federal Reserve System's structure is composed of the presidentially appointed Board of Governors and the partially appointed Federal Open Market Committee (FOMC). The FOMC organizes eight scheduled meetings in a year to review economic and financial conditions. It also determines the appropriate stance of monetary policy and assesses the risks to its long-run goals of price stability and sustainable economic growth. The FOMC Minutes, which are released by the Board of Governors of the Federal Reserve weeks after the latest meeting, are a guide to the future US interest-rate policy.
Fed official website, on X and Facebook
Jerome Powell
Jerome Powell took office as chairman of the Board of Governors of the Federal Reserve System in
February 2018, for a four-year term ending in February 2022. His term as a member of the Board of Governors will
expire January 31,
2028. Born in Washington D.C., he received a bachelor’s degree in politics from Princeton University in 1975 and
earned a law degree from Georgetown University in 1979. Powell served as an assistant secretary and as
undersecretary of the Treasury
under President George H.W. Bush. He also worked as a lawyer and investment banker in New York City. From 1997
through 2005, Powell was a partner at The Carlyle Group.
Jerome Powell Fed's Profile and Wikipedia
The World Interest Rates Table reflects the current interest rates of the main countries around the world, set by their respective Central Banks. Rates typically reflect the health of individual economies, as in a perfect scenario, Central Banks tend to rise rates when the economy is growing and therefore instigate inflation.
