US Fed Meeting 2025 Highlights: Markets fall after Jerome Powell signals no December rate cut; US-China deal in focus

US Fed Meeting LIVE: Om Ghawalkar, a market analyst at Share.Market, said that the US Federal Reserve's move to cut the benchmark interest rates further by 25 basis points can prompt the Reserve Bank of India to cut its key interest rates, as lower rates in the United States can fuel capital outflow.

“Indian stocks could see a short-term lift from FII inflows, especially in IT and pharma sectors tied to U.S. demand, while rupee stability might ease import costs for oil and commodities. Bond yields could dip too, making corporate debt more attractive, but watch for volatility if U.S. Treasury flows reverse,” said the stock market expert.

“Looking further out, the Fed's pivot might force RBI's hand toward its own cuts in the coming months, as sustained low U.S. rates could stoke capital outflows from India if domestic yields lag, prompting policy tweaks to defend the rupee without choking growth. Behavioural shifts among investors could mean more rotation into Emerging Market assets, but also heightened vigilance on inflation pass-through from a softer dollar. RBI might lean on liquidity tools like CRR reductions instead of aggressive rate moves to balance act,” said Ghawalkar.

US Fed Meeting LIVE: Despite the Federal Reserve’s interest rate cut of 25 basis points, risk assets such as Bitcoin and Ethereum immediately reversed course, with more than $700 million liquidated and over 151,000 traders wiped out in the past 24 hours.

This sharp reaction suggests two key dynamics: first, the market may have already priced in the rate cut, leaving little fresh upside; and second, the crypto sector remains highly leveraged and vulnerable to macro shifts, meaning even “positive” central bank moves can trigger a swift deleveraging spiral, said Avinash Shekhar, Co-Founder & CEO, Pi42.

According to him, traders should now regard any bounce as a relief rally, not a new uptrend. Momentum remains fragile, liquidity risk is elevated, and until there is clear confirmation of institutional capital flowing back in, the path of least resistance appears sideways to lower, Shekhar said.

US Fed Meeting LIVE: For India, the US Fed rate cut move was largely anticipated, but it should improve market sentiment, especially for financials and consumption-driven sectors. Softer US yields make Indian assets more attractive to foreign institutional investors (FIIs), potentially boosting equity and debt inflows. The Fed’s easing also reduces external headwinds, giving the RBI greater flexibility to pause or fine-tune its policy stance, said Manoranjan Sharma, Chief Economist, Infomerics Valuation and Ratings Ltd.

US Fed Meeting LIVE: Despite the Federal Reserve’s interest rate cut of 25 basis points, risk assets such as Bitcoin and Ethereum immediately reversed course, with more than $700 million liquidated and over 151,000 traders wiped out in the past 24 hours.

This sharp reaction suggests two key dynamics: first, the market may have already priced in the rate cut, leaving little fresh upside; and second, the crypto sector remains highly leveraged and vulnerable to macro shifts, meaning even “positive” central bank moves can trigger a swift deleveraging spiral, said Avinash Shekhar, Co-Founder & CEO, Pi42.

According to him, traders should now regard any bounce as a relief rally, not a new uptrend. Momentum remains fragile, liquidity risk is elevated, and until there is clear confirmation of institutional capital flowing back in, the path of least resistance appears sideways to lower, Shekhar said.

US Fed Meeting LIVE: We will be very close to the policy neutral rate of 3.25%. That means an additional 1-2 rate cuts in 2026. Historically, when the Fed lowers rates, capital tends to shift out of safe assets such as US Treasuries and bank deposits into riskier assets, including equities, private equity, venture capital, and emerging markets, said Nachiketa Sawrikar, Fund Manager, Artha Bharat Global Multiplier Fund.

The Indian stock market has already gone up in anticipation of stronger capital inflows. The Indian economy is already doing well and there is a general expectation that a new India-US trade deal is imminent with an expected tariff rate of 16-18%. Overall, India stands to benefit from easing of US interest rates and strong domestic fundamentals, Sawrikar added.

US Fed Meeting LIVE: The Fed rate cut decision was largely on expected lines, but the hawkish tone of the statement may unsettle markets in the near term. Labour market data points toward continued weakness, suggesting the need for further policy support. While the Fed has eased policy, the transmission of rate cuts to bond markets remains limited, implying potential for additional cuts in the months ahead, said Ankita Pathak, Macro Strategist and Global Equities Fund Advisor at Ionic Asset.

We remain optimistic about a December rate cut, although it will depend on incoming data. Emerging market (EM) policy actions, including that of the RBI, will likely hinge on slowing growth and easing inflation trends — factors that could influence global monetary alignment. The Fed’s stance indicates a careful balance between supporting growth and anchoring inflation. With QT ending and labour markets weakening, policy bias may remain accommodative through early 2026, Pathak added.

US Fed Meeting LIVE: The Federal Reserve’s decision to trim rates by 25 bps to a 3.75%-4.00% range was widely expected, yet markets greeted it with measured optimism. By pivoting slightly toward supporting a cooling labour market while acknowledging lingering inflation risks, the Fed signalled a subtle shift from inflation-fighting to job protection. The move to end balance sheet runoff by December added a layer of reassurance. However, Chair Powell’s reminder that further cuts are not assured kept uncertainty alive. Investors are now navigating a delicate balance of optimism and caution, with market volatility underscoring the Fed’s data-dependent path ahead, said Ajit Mishra – SVP, Research, Religare Broking Ltd.

US Fed Meeting LIVE: The India rupee depreciated 21 paise to 88.43 against the dollar, weighed down by the strength of the American currency after Fed Chairman Jerome Powell indicated that the rate cut in December is not given. The rupee opened at 88.37 against the US dollar before dropping to 88.43, down 21 paise from its previous close. The dollar index rose to 99.05 and the 10-year yield to 4.07% despite the 25 bps rate cut by the Fed overnight.

US Fed Meeting LIVE: According to Mohit Gulati, CIO, ITI Growth Opportunities Fund the US Fed rate cut marks the formal pivot in global monetary policy which markets have been pricing in for months.

“For India, this could translate into renewed FPI flows and stronger liquidity support, particularly for financials and consumption plays. However, investors should temper the euphoria — rate cuts don’t magically fix growth or earnings. This is a liquidity tailwind, not a fundamentals reset. India remains one of the cleanest macros in the emerging world, but selectivity will matter more than ever,” said Gulati.

He noted that liquidity was certainly back on the table, but not everyone gets to eat. “The era of free money is over — now it’s about smart, selective capital chasing real performance,” he said.

US Fed Meeting LIVE: The Indian stock market opened lower on Thursday, following weak sentiment in global markets, after the US Federal Reserve cut interest rate by 25 bps, but Fed Chair Jerome Powell hinted no further rate cut in December. The benchmark BSE Sensex was trading 351.59 points, or 0.41%, lower at 84,645.54, while the NSE Nifty 50 was down 108.95 points, or 0.42%, at 25,944.95. Bank Nifty also traded lower by 169.50 points, or 0.29%, at 58,204.50.

US Fed Meeting LIVE: The Bank of Japan kept interest rates steady on Thursday but repeated its pledge to continue increasing borrowing costs if the economy moves in line with its projections. As widely expected, the central bank maintained short-term interest rates at 0.5%.

Board members Naoki Tamura and Hajime Takata dissented to the decision, repeating their proposals made in September to raise rates to 0.75%, Reuters reported.

US Fed Meeting LIVE: The call for another 25 bps cut in December is now well tied to how shaky the labor market gets ahead and how discouraging the labor numbers get when the government reopens. The Fed’s remarks add to our unease and scepticism of the market's Goldilocks view, said Madhavi Arora, Lead Economist at Emkay Global Financial Services Ltd

Emerging Markets central banks, led largely by Asia, have become more circumspect as their rate cutting cycles matured and disinflation slowed. Surging Asian tech exports and fiscal stimulus have reduced the urgency to cut rates to counter demand slowdown. India has been no different, even as the RBI continued to show willingness to ease, if growth falters and inflation continues to surprise further. Fed’s wait-and-watch approach adds another variable to the EM central banks' reaction function, albeit not strong enough to dominate the policy biases, Arora said.

US Fed Meeting LIVE: The dollar nudged higher as traders scaled back bets of a US rate cut in December. Sterling last traded at $1.3195 after falling to a 5-1/2-month low in the previous session. The euro rose 0.03% to $1.1604. Japanese yen was languishing near an eight-month low against a resurgent dollar and last stood at 152.59.

US Fed Meeting LIVE: Hong Kong's de-facto central bank lowered its base interest rate by 25 basis points to 4.25% on Thursday, tracking a cut by the U.S. Federal Reserve. It was the second easing by the Hong Kong Monetary Authority (HKMA) this year since a similar cut in September. The rate is charged via the overnight discount window.

US Fed Meeting LIVE: Treasuries fell the most in nearly five months after Federal Reserve Chair Jerome Powell cast doubt on a December interest-rate cut. Rates on two-year notes — which are more sensitive to changes in expectations for monetary policy — jumped 11 basis points to 3.6%, the highest level in a month.

US Fed Meeting LIVE: Gold prices pared gains after Federal Reserve Chair Jerome Powell downplayed the likelihood of a December interest-rate cut. Spot gold rose 0.2% to $3,959.92 an ounce. in New York. Silver, platinum and palladium all gained. Bond yields and the dollar climbed.

US Fed Meeting LIVE: US stock market ended mixed on Wednesday after the US Federal Reserve cut interest rate but Fed Chair Jerome Powell said that another rate cut in December is far from assured.

The Dow Jones Industrial Average declined 74.37 points, or 0.16%, to 47,632.00, while the S&P 500 fell 0.30 points to 6,890.59. The Nasdaq Composite closed 130.98 points, or 0.55%, higher at 23,958.47.

US Fed Meeting LIVE: The US Federal Reserve Chairman Jerome Powell said the US labour market slowdown is mainly due to the sharp drop in immigration numbers, as President Trump cracks down on illegal immigrants.

“The supply of workers has dropped very sharply due to mainly immigration but also lower labour force participation. So, that means there's less need for new jobs, because there isn't this flow into the pool of labour that you know, where people need jobs, because there aren't those people now, so there's not a supply of workers showing up for jobs,” said Powell in his media address.

US Fed Meeting LIVE: US Federal Reserve Chairman Jerome Powell said that the increase in the US CPI inflation is due to the tariffs imposed by US President Donald Trump.

“You've seen goods prices increasing, and that's really due to tariffs, and that's due that's compared to a longer run trend of very, very mild deflation in goods. So that's moving inflation up…” said Jerome Powell in his media address.

The September 2025 CPI data showed that consumer inflation in the US economy has increased to 3%, compared to its August 2025 levels of 2.9%.

US Fed Meeting LIVE: US Federal Reserve Chairman Jerome Powell said that the market's prediction about a potential rate cut in December 2025 is not a ‘foregone conclusion’ and highlighted that the reality is “far from it.”

“A further reduction in the policy rate at the December meeting is not a foregone conclusion, far from it,” said Jerome Powell on Wednesday.

Chairman Powell also said that the FOMC team had ‘strongly different’ views and they have not made any decisions about a December rate cut.

“Strong views across the committee, there were strongly different views today. And the takeaway from that is that we haven't made a decision about December, and we're going to be looking at the data that we have, how that affects the outlook and the balance of risks,” said Powell in his address.

US Fed Meeting LIVE: US Federal Reserve Chairman Jerome Powell, in his media address, said that the infaltion og goods prices in the US economy has picked up as the central bank continues to track the economic indicator.

“Readings are higher than earlier in the year, as inflation for goods has picked up,” said Chair Powell in his media address.

US consumer inflation data released in October 2025 highlighted that the CPI inflation rose to 3% in 12-month-ended on September 2025, compared to its earlier level of 2.9% in August 2025.

US Fed Meeting LIVE: All eyes are now awaiting US Federal Reserve Chairman Jerome Powell's commentary on the FOMC's decision to cut the benchmark interest rates by 25 basis points in the October 2025 policy outcome released on 29 October 2025.

US Fed Meeting LIVE: The US Federal Reserve on Wednesday, 29 October 2025, said that the uncertainty related to the economic outlook of the United States still remains ‘elevated.’

“Uncertainty about the economic outlook remains elevated,” said the US Fed's FOMC in its October policy outcome.

US Fed Meeting LIVE: The US Federal Reserve's FOMC said that the job gains in the US economy have slowed in 2025; however, the unemployment rate in the country has risen, yet remains low through the month of August.

US Fed also kept its stance unchanged on the inflation factor and said that consumer inflation has increased and currently remains at a ‘somewhat elevated’ level.

“Job gains have slowed this year, and the unemployment rate has edged up but remained low through August; more recent indicators are consistent with these developments. Inflation has moved up since earlier in the year and remains somewhat elevated,” said the US Fed in its announcement on Wednesday.

US Fed Meeting LIVE: The US Federal Reserve's FOMC said that the central bank will now be focusing on the balance of risk in the US economy along with the evolving outlook and the incoming data to further decide on the future route of the key interest rates.

“In considering additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks,” said the FOMC in its official announcement.

US Fed Meeting LIVE: The US Federal Reserve's FOMC has announced a 25 basis point rate cut to bring down the key benchmark interest rates to 3.75%-4.00%.

“In support of its goals and in light of the shift in the balance of risks, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 3-3/4 to 4 per cent,” said the US Fed's FOMC in its official statement.

US Fed Meeting LIVE: Jerome Powell-led FOMC cuts key interest rate to 3.75%-4.00% amid inflation concerns

US Fed Meeting LIVE: All eyes are now on the US Federal Reserve's policy outcome decision after their October meeting, as the FOMC is moments away from releasing the updates in key benchmark interest rates on Wednesday, 29 October 2025.

US Fed Meeting LIVE: US Federal Reserve Chairman Jerome Powell, after the September 2025 policy meeting outcome, said that the downside risks to employment in the US economy seem to have increased as the Fed projects the unemployment rate to be at 4.5% by the end of 2025.

“Labour demand has softened, and the recent pace of job creation appears to be running below the 'breakeven' rate needed to hold the unemployment rate constant,” said Fed Chair Jerome Powell.

“In this less dynamic and somewhat softer labour market, the downside risks to employment appear to have risen. In our SEP, the median projection for the unemployment rate is 4.5 per cent at the end of this year and edges down thereafter,” Powell said.

US Fed Meeting LIVE: The benchmark stock market indices hit a fresh record high after the opening bell on Wednesday, 29 October 2025, ahead of the US Federal Reserve's policy decision.

The Nasdaq Composite jumped 0.8% to a new record high of 24,019 points, the S&P 500 gained 0.4% to hit 6,920 points, while the Dow Jones Industrial Average jumped 0.7% to a record high of 48,040 points on Wednesday's market session.

US Fed Meeting LIVE: Market expert Harshal Dasani said that a Federal Reserve rate cut has the potential to ‘reprice risk assets’ across the sectors like equities, bonds, and commodities.

However, if the central bank implements another 25 basis points rate cut, then the move has the potential to start a policy easing phase, where markets will position another rate cut at the end of 2025.

“A cut this week would further lower U.S. yields, potentially softening the dollar and reviving capital flows into emerging markets such as India. For global investors, it also marks the beginning of a synchronised policy easing phase, which could reprice risk assets across equities, bonds, and commodities,” said Harshal Dasani, Business Head, INVAsset PMS.

US Fed Meeting LIVE: Stock market experts are anticipating that the US Federal Reserve is likely to cut its key benchmark interest rates by 25 basis points in the upcoming policy meeting.

“There is a growing possibility that the US Federal Reserve may cut the benchmark interest rate by 25 basis points in the upcoming policy following the recent decline in inflation. Equity markets appear to have largely priced in the potential rate cut, as reflected in the recent upward movement,” market expert, Avinash Gorakshakar, told Mint.

US Fed Meeting LIVE: US Federal Reserve Chairman Jerome Powell is set to start his press conference at 2:30 p.m. (EDT) to announce the FOMC's policy decision and the economic outlook for the US economy.

People from India will be able to watch Powell speak at 12:00 a.m. (IST), according to the official data.

US Fed Meeting LIVE: The US Federal Reserve's September 2025 projections shows that the median projection for total PCE inflation stood at 3% in 2025.

The inflation level can potentially drop to 2.6% in 2026, and 2.1% in 2027, hence this shows that the US central bank does not expect the key inflation rate to drop under the 2% target in the next two years.

“Near-term measures of inflation expectations have moved up, on balance, over the course of this year on news about tariffs, as reflected in both market- and survey-based measures. Beyond the next year or so, however, most measures,” said Jerome Powell.

US Fed Meeting LIVE: The Federal Reserve's FOMC expects that there is a possibility that the key interest rates will come down to 3.6% by the end of 2025. However, the Federal Reserve in its September policy meeting positioned itself to access the incoming data and situation in the US economy before cutting rates further.

“The median participant projects that the appropriate level of the federal funds rate will be 3.6% at the end of this year, 3.4% at the end of 2026, and 3.1% at the end of 2027. This path is 1/4 percentage point (25 bps) lower than projected in June,” said Chairman Jerome Powell.

US Fed Meeting 2025 LIVE: The US Federal Reserve, in its September 2025 policy meeting outcome, said that the inflation in the US economy has moved up and remains at a ‘somewhat elevated’ level.

The US central bank also highlighted that the job growth in the American economy has slowed down. Although the unemployment rate has increased, the number still remains ‘low.’

“Recent indicators suggest that the growth of economic activity moderated in the first half of the year. Job gains have slowed, and the unemployment rate has edged up but remains low. Inflation has moved up and remains somewhat elevated,” said the Federal Reserve in its September policy outcome announcement.

US Fed Meeting LIVE: US Federal Reserve is set to announce its benchmark policy outcome at 2 p.m. (EDT) in the United States, and for the people who will be awaiting the decision from India, the outcome will be announced at the official website at 11:30 p.m. (IST) on Wednesday, 29 October 2025.

US Fed Meeting 2025 LIVE: The US Federal Reserve will announce its two-day policy meeting outcome on Wednesday, 29 October 2025. The Fed's FOMC committee will disclose any potential change in their stance for the US economy in the announcement.