After the Federal Reserve (Fed) raised its policy interest rate by 25 basis points in July, market attention shifted to the Fed’s next interest rate decision. Fed officials have emphasized that critical data and indicators will have a significant impact on interest rate decisions in recent weeks. Meanwhile, one of the important indicators affecting the Fed’s interest rate decision, the US PMI data, has just been released.
The Upcoming Fed Interest Rate Decision
In July, the Fed raised its policy interest rate by 25 basis points. Fed Chairman Jerome Powell spoke to the press in a live broadcast following the interest rate decision. Fed Chairman Powell stated that critical indicators, including inflation and unemployment data, will play an important role in the Fed’s next interest rate decision.
Several Fed officials, speaking to the press during the week, emphasized that inflation is declining but current inflation is still well above the target. Following the statements made by Fed officials, market attention turned to the next meeting for the interest rate decision. The next Fed meeting is scheduled for September 19-20.
US PMI Data Released
Meanwhile, the US PMI data, which is an important indicator affecting the Fed’s interest rate decision, has just been released. The Manufacturing PMI was reported as 47.0, while the Services PMI was reported as 51.0.
- Purchasing Managers’ Index for Manufacturing (PMI) (August) Reported: 47.0 (Expectation: 49.3 Previous: 49.0)
- Purchasing Managers’ Index for Services (PMI) (August) Reported: 51.0 (Expectation: 52.3 Previous: 52.3)
Following the release of the US PMI data, there was no significant movement in the cryptocurrency market, but the leading cryptocurrency Bitcoin (BTC) rose above $26,000 again with its recent value increases. With the effect of the value increases in BTC, most altcoins in the cryptocurrency market started to rise again.
