30th October 2025
Please see the below comment from Roman Ziruk, Senior Market Analyst at global financial services firm Ebury, on yesterday’s Fed rate meeting.
“Markets went into the Fed meeting expecting a repetitive, relatively dovish message, but a couple of hawkish surprises caught investors off guard. First, the dissent from Kansas Fed President Schmid, who voted for no change, caught attention, underscoring the considerable differences in opinion among committee members, a point later emphasised by Powell. With the economy sending mixed signals, data scarce, and the environment uncertain, unanimity is likely a thing of the past.
“The Fed’s 25bp cut was a foregone conclusion, but Chair Powell’s statement that another one in December is far from guaranteed caused the biggest stir, sending EUR/USD sliding below the 1.16 mark.
“Although markets are still leaning towards another cut before year-end, this now no longer seems set in stone, and the interest rate path may not be as straightforward as previously thought. We still strongly favour a December cut, unless data in the interim dictates otherwise, assuming some eventually arrives by then.”