All eyes around the world, including Bitcoin, gold, and global markets, are once again focused on the FED’s interest rate decision.
As market activity increases ahead of the FED’s interest rate decision, investors are searching for answers to the question, “What will the FED interest rate decision be this month?”
Despite the limited data release due to the recent government shutdown in the US, it is considered certain that the FED will reduce its policy rate.
At this point, the FED’s 25 basis point cut tonight is priced in at 99.9%, while leaving interest rates unchanged is priced in at only 0.1%.
When Will the October Fed Interest Rate Decision Be Announced?
The FED will announce its October interest rate decision on October 29, 2025 at 21:00 Turkish time.
Following the decision, FED Chairman Jerome Powell will make oral statements regarding both the economic outlook and the future of monetary policy at 21:30.
What was the FED’s September Interest Rate Decision?
In September, the Fed lowered its policy rate by 25 basis points to a range of 4-4.25%, in line with expectations, marking its first rate cut of the year. This was the first time the Fed had made a decision to cut interest rates in 2025.
What are the FED Expectations?
The Fed is expected to continue the interest rate cuts it initiated in September in October.
At this point, the FED is expected to lower the policy rate to the 3.75%-4.00% range following the latest inflation data.
Jefferies global economist Mohit Kumar said that while a rate cut is considered a certainty, he expects Fed Chair Jerome Powell to adopt a cautious stance on the issue after the FOMC meeting today.
Apart from this, Morgan Stanley economists also predict that the Fed will make a 25 basis point cut today.
Finally, analyst firm QCP Capital said the Fed was preparing to make a 25 basis point move due to the data outage, but that didn’t leave Powell much room for new guidance. Analysts say the lack of official data since the US government shutdown has effectively forced the Fed to act blindly. Without inflation or labor pressure, any policy readjustment would be premature.
Trump Criticizes Powell Ahead of Fed Decision!
US President Donald Trump took aim again just hours before the Fed’s decision, criticizing Jerome Powell for being slow to cut interest rates.
In his speech in Gyeongju, South Korea, Trump stated that the Fed has been slow to cut interest rates, saying, “We will not have a Fed that raises interest rates because they are worried about inflation three years from now.” Trump stated that he expects the economy to grow by 4% in the first quarter of 2026 and argued that current monetary policy is negatively impacting the business environment.
*This is not investment advice.