The Federal Open Market Committee (FOMC) held its second meeting of 2025 and decided to keep interest rates unchanged at 4.25-4.50%.
Fed's Decision
During today's FOMC meeting, the decision to keep the interest rates unchanged was in line with market expectations. CME Group data indicated a 99% probability of this outcome.
Bitcoin's Reaction
Bitcoin responded positively, climbing 4% to over $84,000 after experiencing a drop to around $81,000. This uptick reflects market optimism leading up to the meeting.
Economic Risks and Future Meetings
The Fed's decision is influenced by economic risks connected to President Trump's tariff policies, which have escalated global trade tensions according to some analysts. The next FOMC meeting is set for May 7, 2025. Monetary policy remains a critical topic amid a volatile trade environment and economic uncertainty.
The coming months will reveal how the Fed addresses inflation trends and the impact of tariffs in its future policy decisions. Bitcoin remains on an upward trajectory amidst economic policy stability.