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FOMC today, as expected, maintained fixed interest rates.
The officials said the unemployment rate "stabilized" and the "labor market" is strong. Inflation, on the other hand, "is still somewhat high."
"The committee rules that the risks to achieving the goals of its work and enlargement are in a state of almost balance," statement Read. "The economic view is unconfirmed, and the committee is concerned with risks on both sides of its double mandate."
Today's pause comes after Three consecutive Interest rate discounts at the end of last year. In the latest committee ProjectionMost participants are expected to end 2025 in a range of 3.75 % -4 %. The current target range is 4.25 % -4.5 %.
Whether we see or do not see discounts at 25 Basis in 2025, though, is to guess anyone at this stage.
President Trump's policy plans - mainly On definitions and Collective deportation It is expected that it will have significant effects on inflation and the labor market, which may reduce the central bank’s mandate to reach the maximum amount of employment at stable prices. Trump Last week He said he knows "Better interest rates" than FOMC members.
The markets are largely expecting that FOMC will continue in this temporary suspension until March, which calls for a chance of a pause of only 28 %, according to the CME group data.
The shares were changed a little in moments after the decision. The S&P 500 and Nasdaq remained in red, as it is traded by 0.7 % and 1 %, respectively, as of 2:10 pm Easter.
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