US FOMC Statement

Federal Reserve officials opted to hold interest rates steady at their March FOMC meeting on Wednesday, while still anticipating to cut rates twice in 2025. Former Federal Reserve Bank of Kansas City Former President and CEO Esther George joins Market Domination host Julie Hyman to talk more about how the US central bank is factoring economic growth uncertainties — especially those tied to tariffs and inflation — while reviewing the Fed's Summary of Economic Projections (SEP) report.

We had targeted an end of quantitative tightening (QT) by mid-year. The Fed has just snuck in a slowing from April, as a step. It comes against a backdrop where the Fed sees some evidence of liquidity tightening. They are being super cautious here, as they don't went to repeat 2019 when they overdid it with QT, resulting in some quite severe liquidity shortage issues to deal with. Specidfically, from April, the Fed will have a monthly redemption cap of US$5bn. That’s practically zero. It’s not clear why the Fed did not just decide to ...

Bill Dudley, former president of the New York Fed, says the Federal Reserve is "flying blind" because they don't know what's going to happen to economic growth. "Powell came in and gave a pretty dovish performance in the sense of, ‘We got this, we’re in a good place, we can afford to wait, we’ll see how it goes, we’re gonna get the job done,’” he said.

The FOMC kept rates unchanged at the March policy meeting, in line with consensus expectations and our own pre-decision call. This leaves the target range for the Federal Funds Rate untouched at 4.25-4.50% for the second consecutive meeting. Somewhat to our surprise, however, other elements of this latest decision skewed dovish on net. The FOMC announced that quantitative tightening would be scaled back, beginning in April, while delivering an unchanged set of median rate projections. An upgrade to inflation expectations combined ...

The gold market remains off its highs and is struggling for direction as the Federal Reserve maintains its neutral monetary policy stance, even as it raises its inflation expectations and lowers its growth forecast. As expected, the Federal Reserve left interest rates unchanged within a range of 4.25% to 4.50%. The U.S. central bank provided little guidance on its monetary policy. According to updated interest rate projections, also known as the dot plots, the Federal Reserve sees interest rates ending the year at 3.9%, unchanged ...

The Federal Reserve in a closely watched decision Wednesday held the line on benchmark interest rates though still indicated that reductions are likely later in the year. Faced with pressing concerns over the impact tariffs will have on a slowing economy, the rate-setting Federal Open Market Committee kept its key borrowing rate targeted in a range between 4.25%-4.5%, where it has been since December. Markets had been pricing in virtually zero chance of a move at this week’s two-day policy meeting. Along with the decision, officials ...

The Federal Reserve System is the central bank of the United States. It performs five general functions to promote the effective operation of the U.S. economy and, more generally, the public interest. The Federal Reserve conducts the nation’s monetary policy to promote maximum employment, stable prices, and moderate long-term interest rates in the U.S. economy; promotes the stability of the financial system and seeks to minimize and contain systemic risks through active monitoring and engagement in the U.S. and abroad; promotes the ...