Announcement: The Federal Reserve will release its interest rate decision tomorrow at 3:00 AM
BlockBeats News, January 28: The Federal Reserve will announce its interest rate decision tomorrow (Thursday) at 3 a.m., with the previous rate at 3.75% and the projected rate at 3.75%. Powell will hold a monetary policy press conference 30 minutes later. It is widely expected that after three consecutive rate cuts, the Federal Reserve will keep the rate unchanged. According to CME's "FedWatch," the probability of a 25 basis point rate cut in January is 2.8%, while the probability of keeping the rate unchanged is 97.2%.
As the market is already anticipating the Fed to stand pat and officials are not expected to release new economic projections this week, investors will carefully analyze Powell's remarks to look for hints on how long policymakers expect to keep the rate unchanged. Morgan Stanley's Chief Economist Michael Gapen expects a dovish tone.
Nick Timiraos, a Wall Street Journal reporter known as the "Fed Whisperer," said Fed officials are expected this week to keep rates unchanged for the first time since three consecutive rate cuts starting in September last year. The question is, under what circumstances would prompt the Fed to cut rates again.
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