When the Federal Open Market Committee (FOMC) meets, markets hold their breath.

Whether you trade crypto, stocks, or commodities, FOMC decisions shape the global financial landscape. Why?

📌 What Is the FOMC?

The FOMC is the branch of the U.S. Federal Reserve responsible for setting interest rates and guiding monetary policy. Its decisions influence:

• Inflation control
• Employment rates
• Dollar strength
• Risk appetite across global markets

💥 Why Traders Care

When the FOMC signals higher interest rates, risk assets like tech stocks and crypto often dip. When it loosens policy, bulls run wild.

A single sentence in an FOMC press release can trigger:

• 🔻 A 5% drop in Bitcoin
• 📉 A tech stock sell-off
• 💵 A surge in the U.S. dollar

🧠 How to Trade Around It

Smart traders prepare before FOMC days:

• Reduce leverage
• Tighten stop-losses
• Avoid emotional trades
• Watch the bond market closely

📊 It’s Not Just for Economists

Even if you don’t trade traditional markets, the ripple effect touches every chart. Next time someone mentions “rate hike fears,” now you know — it’s the FOMC.