Federal Reserve has paused interest rates, leaving them unchanged at 5.25%-5.50%.
highlights “lack of further progress” toward inflation target in recent months, but is “strongly committed” to returning inflation to 2% target. Bitcoin price reclaimed $58,000 area as Fed report improved market sentiment, signaling a more accommodative monetary policy environment. The market was at the edge of its seat on Wednesday to see whether the US Federal Reserve would cut interest rates during the Federal Open Market Committee meeting.
meeting, leaving interest rates unchanged at 5.25%-5.50%, marking a sixth consecutive decision to keep the fed funds rate steady . It also revealed plans to slow the pace of its balance sheet reductions. So far press statement=dovish on balance sheet, hawkish on rate guidance. Guiding to holding flat on rates so far though. Wait for press conference for any guidance on opening door to hikes coming back on the table. If powell dismisses that we're probably in the clear — fejau May 1, 2024 The decision comes as the economic data has given Fed officials some sort of confidence in where the economy is headed. Inflation has eased over the past year but remains elevated.
meetings. It is set as a range, for example 4.75%-5.00%, though the upper limit is the quoted figure. Market expectations for future Fed funds rate are tracked by the CME FedWatch tool, which shapes how many financial markets behave in anticipation of future Federal Reserve monetary policy decisions. In the immediate aftermath of the announcement, Bitcoin price reclaimed territory above $59,000.