empty
InstaForex Loprais Team - Official participant of the Dakar rally
InstaForex Loprais Team - Official participant of the Dakar rally
This section is designed for those who are just starting their trading journey. InstaForex educational and analytical materials will meet your training needs. Our experts' recommendations will make your first steps to trading success simple and clear.
Start as Beginner
How to start trading
Useful information
Training and recordings
InstaForex innovative services are an essential element of productive investment. We strive to provide our clients with advanced technical capabilities and make their trading routine comfortable as we are recognized as the best broker in this regard.
Become Investor
PAMM System
ForexCopy System
Passive investments
Partnership with InstaForex is beneficial and top-tier. Join our affiliate programs and enjoy bonuses, partner rewards, and the possibility to travel with the team of the world-renowned brand.
Become Partner
Main Page
Partner Area
Advantages for Affiliates
Registration
This section contains the most lucrative offers from InstaForex. Receive bonuses when topping up an account, compete with other traders, and get real prizes even when trading in a demo account.
All Promo Campaigns
Bonuses
Contests
Events
Holidays with InstaForex are not only pleasant but also useful. We offer a one-stop portal, numerous forums, and corporate blogs, where traders can exchange experiences and become successfully integrated into the Forex community.
Full details
Forums
We are in social networks
Forex humour
Forex Portal
InstaForex is an international brand created in 2007. The company provides services for online FX trading and is recognized as one of the world's leading brokers. We have won the trust of more than 7,000,000 retail traders, who have already appreciated our reliability and focus on innovations.
Learn More
History
Why Choose Us
InstaSport
Regulation
Company News
Awards
InstaForex Stars
InstaForex Offline
Headquarters
Key documents
Social Responsibility
07.05.2025 07:49 PM
The Fed to Hold Rates Despite Pressure
Open trading account Open demo account

The euro and the pound remain range-bound ahead of a key meeting of the U.S. Federal Reserve, where officials are expected to leave interest rates unchanged as they await clarity on the Trump administration's trade policy. This move is likely to disappoint the president and those seeking clear answers about the next steps of the U.S. central bank.

This image is no longer relevant

The aggressive tariff policy on imported goods is undermining consumer confidence, and households are preparing for a potential surge in consumer prices and weakening labor market conditions. However, recent data show that inflation slowed in March, and the unemployment rate remained unchanged in April. At the same time, U.S. GDP declined in the first quarter of this year following strong growth in Q4 2024.

Fed officials have recently emphasized in public remarks that despite an unusually high level of uncertainty, monetary policy remains in a good place, allowing them to confidently pursue their dual mandate of maximum employment and stable prices.

I expect we'll also hear that uncertainty in this environment remains high, and the Fed is ready to act—or not—as needed to fulfill both sides of its mandate.

The Fed's interest rate decision will be announced this evening. Afterward, Chairman Jerome Powell will hold a press conference. Investors will closely watch to see if Powell repeats, as he has many times before, that policymakers are "in no hurry" to adjust rates.

Futures markets currently price in a quarter-point rate cut at the July 29–30 Fed meeting and two or three more by year-end. Economists are expecting only two cuts starting in September.

In the post-meeting statement, officials are likely to keep the benchmark rate in the 4.25%–4.5% range and reiterate their March 19 statement language, noting that they remain attentive to the risks on both sides of their dual mandate. Some minor changes might appear in the first paragraph of the statement, which describes economic conditions. As I noted above, the GDP contraction in Q1—driven by imports—won't allow the committee to repeat that overall economic activity continued to expand at a solid pace.

Powell is expected to push back against rate cuts. However, officials like Richmond Fed President Thomas Barkin and Fed Governor Adriana Kugler have recently voiced concerns that inflation expectations could weaken. Yet with solid April wage growth, the reasons to cut rates diminish. Fed officials may again rely on signs of labor market strength to justify a wait-and-see stance, as April hiring exceeded payroll expectations and unemployment held around 4.2%. Policymakers will likely also repeat that uncertainty surrounding their economic outlook has increased or remains elevated.

It's hard to predict how the market will react to all this. But most likely, if Powell's comments lean dovish, the dollar will find support.

As for the current EUR/USD technical picture, buyers now need to target the 1.1379 level. Only a break above it would allow a push toward 1.1415. From there, the pair could reach 1.1453, though doing so without support from large players may be difficult. The ultimate target would be the 1.1487 high. If the pair declines, I expect significant buying activity only around the 1.1341 level. If there's no interest there, it would be wise to wait for a test of the 1.1305 low or open long positions from 1.1269.

Regarding the GBP/USD technical picture, pound buyers need to reclaim the nearest resistance at 1.3365. Only then can the pair aim for 1.3399, above which a breakout would be rather difficult. The final target would be the 1.3437 level. If the pair falls, bears will try to regain control over 1.3335. If successful, a break of this range would deliver a major blow to the bulls and push GBP/USD toward the 1.3301 low, with potential to extend the move to 1.3260.

Jakub Novak,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
All Analytics
Fundamental analysis
XAU/USD. Analysis and Forecast Gold is declining below the $3300 level today. U.S. PCE data met expectations. A shift in trade flows is helping the U.S. dollar regain positive momentum. This is also undermining
Irina Yanina
17:37 2025-05-30 +02:00
3955
Wave analysis
GBP/USD Analysis on May 30, 2025 The wave structure for GBP/USD continues to indicate the development of an upward impulsive wave pattern. The wave pattern is almost identical to that of EUR/USD. Until February
Chin Zhao
17:31 2025-05-30 +02:00
3130
Breaking Forecast Trading Plan Cryptocurrencies USD/RUB Russian Economy Video Analysis
Trading Instruments
EURUSD GBPUSD USDCHF USDCAD USDJPY AUDUSD EURGBP EURJPY NZDUSD EURNZD Silver Gold #CL #USDX COVID-19 Bitcoin
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

XAU/USD. Analysis and Forecast

Gold is declining below the $3300 level today. U.S. PCE data met expectations. A shift in trade flows is helping the U.S. dollar regain positive momentum. This is also undermining
Irina Yanina 17:37 2025-05-30 UTC+2

Inflation Is Almost Under Control

While the euro continues to hold its ground against the dollar, European Central Bank (ECB) Governing Council member Fabio Panetta indicated during an interview today that inflation in the eurozone
Jakub Novak 13:40 2025-05-30 UTC+2

USD/CAD. Analysis and Forecast

The USD/CAD pair is attempting to regain positive momentum today, though traders remain cautious ahead of the key U.S. Personal Consumption Expenditures (PCE) Price Index release. As a preferred inflation
Irina Yanina 13:22 2025-05-30 UTC+2

EUR/USD. Analysis and Forecast

The EUR/USD pair continues to struggle to recover after rebounding from the 1.1200 level reached earlier, showing a moderately negative bias, although the decline remains limited. The U.S. dollar
Irina Yanina 13:19 2025-05-30 UTC+2

Legal Disputes Between Trump and Companies Over Tariffs Will Negatively Impact Markets (There Is a Likelihood of Continued Decline in Bitcoin and Litecoin Prices)

Global markets are significantly influenced by events occurring in the United States, where both political and economic spheres continue to swing like a pendulum. Earlier this week, after the U.S
Pati Gani 11:11 2025-05-30 UTC+2

More Time is Needed

Dallas Federal Reserve Bank President Lorie Logan indicated yesterday that it might take some time before policymakers understand how the economy will react to tariffs and other policy changes
Jakub Novak 10:53 2025-05-30 UTC+2

The ECB Should Not Delay Rate Cuts

While the euro is trying to regain its monthly highs after a fairly significant correction seen this week, a survey of several economists shows that the European Central Bank
Jakub Novak 10:49 2025-05-30 UTC+2

Markets Demand an Appeal

The S&P 500 started the day strong but ended on a downbeat note. Initially buoyed by the U.S. Court of International Trade's ruling that the White House's tariffs were illegal
Marek Petkovich 10:33 2025-05-30 UTC+2

What to Pay Attention to on May 30? A Breakdown of Fundamental Events for Beginners

Several macroeconomic reports are set to be released on Friday, but none are deemed particularly significant. In Germany, the inflation report for May will be released, with expectations
Paolo Greco 06:51 2025-05-30 UTC+2

GBP/USD Overview – May 30: Justice Has Prevailed, but for How Long?

The GBP/USD currency pair closed below the moving average line on Thursday, and the dollar strengthened for three consecutive days. However, everything changed in the second half
Paolo Greco 03:51 2025-05-30 UTC+2

Top analytics

Relevance up to 11:00 2025-06-13 UTC--4
Trading Signals for GOLD for May 30, 2025: buy above $3,281 (200 EMA - 6/8 Murray)
17:35 2025-05-30
Technical analysis
Relevance up to 11:00 2025-06-13 UTC--4
Trading Signals for EUR/USD for May 30, 2025: sell below 1.1350 (21 SMA - 5/8 Murray)
17:33 2025-05-30
Technical analysis
Relevance up to 02:00 2025-06-02 UTC--4
Markets Demand an Appeal
10:33 2025-05-30
Fundamental analysis
Relevance up to 09:00 2025-06-12 UTC--4
Trading Signals for GOLD for May 29-30, 2025: sell below $3,317 (7/8 Murray - 21 SMA)
15:58 2025-05-29
Technical analysis
Relevance up to 10:00 2025-06-03 UTC--4
The Dollar Puts on a Brave Face Amid Adversity
00:50 2025-05-30
Fundamental analysis
Can't speak right now?
Ask your question in the chat.
Widget callback
Callback widget
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.