Crypto Market Stays Flat as Fed Holds Interest Rates Steady After FOMC Meeting

Airdrop Is Live CaryptosHeadlines Media Has Launched Its Native Token CHT. Airdrop Is Live For Everyone, Claim Instant 5000 CHT Tokens Worth Of $50 USDT. Join the Airdrop at the official website, CryptosHeadlinesToken.com At the end of its two-day meeting, the Fed’s policy group, the Federal Open Market Committee, voted to keep the federal funds rate between 4.25% and 4.50%. Before the announcement, markets were almost certain this would happen, with a 99% chance priced in. As a result, the crypto market didn’t react much to this interest rate decision.Trump’s Proposed Tariffs May Add Inflation Pressure: FedThe U.S. Federal Reserve announced on Wednesday that it will keep interest rates steady at 4.25% to 4.5%, following its May meeting, a move that was widely expected by the market. According to the CME FedWatch tool, there was a 99% chance priced in for no rate change.The Fed noted that inflation is still “somewhat elevated” and added that uncertainty about the economic outlook has grown.The Fed is leaving its benchmark interest rate unchanged as it continues to assess the economic impact of President Donald Trump’s broad tariffs.The Fed said the economy is still growing steadily, with strong job numbers and low unemployment. However, inflation is still a concern, and there’s more uncertainty about the outlook.They warned that risks of both rising inflation and unemployment have increased, and future decisions will depend on new data. The Fed also repeated its goal of keeping inflation near 2% and supporting strong employment. Although President Trump has pushed for lower rates, recent strong job data has made a June rate cut less likely.Market expectations for rate cuts have changed, with investors now less certain about cuts in the third quarter. Most now expect the Fed to start lowering rates in July, followed by two or three more cuts before the end of the year.The crypto market remained steady following the news, with little price movement. Bitcoin dipped slightly, falling 0.2% in the past hour.Source link