02:40 PM EDT, 06/17/2025 (MT Newswires) -- The Federal Open Market Committee is overwhelmingly expected to maintain the range for its federal funds rate at the current 4.25% to 4.50% due to continued economic uncertainty, putting the focus on the updated Summary of Economic Projections. Currently, the CME's FedWatch Tool sees a 99.9% chance of no change to the current target rate range. The FOMC's statement following Wednesday's meeting is due for release at 2:00 pm ET, with Federal Reserve Chairman Powell's press conference scheduled to begin at 2:30 pm ET.

"Fed policymakers have all agreed on one thing so far in 2025: there is no obvious need for immediate changes in policy, and a patient approach is best," Jefferies said in a research note. "Incoming data will eventually reconcile the divergent views on inflation and growth/employment, so it is best to wait and see rather than act preemptively and risk making a mistake. The pricing in futures markets reflects a near-certainty that the fed funds rate will be unchanged following this meeting."

Since the most recent meeting on May 6-7, FOMC officials have pointed to continued uncertainty due to the Trump Administration's tariff plans but have indicated that the federal funds rate could be adjusted lower later this year if inflation growth caused by the tariffs proves to be temporary. President Donald Trump has been critical of the Fed's decision to maintain interest rates, noting slowing hiring and softening inflation, and met with Powell at the White House on May 29.