US Economic Calender -FOMC Meeting

• Federal Open Market Committee meets eight times a year in order to determine the near-term direction of monetary policy.
• Fed determines interest rate policy at FOMC meetings - level of interest rates affects the economy. Higher interest rates tend to slow economic activity; lower interest rates stimulate economic activity.In the consumer sector, few homes or cars will be purchased when interest rates rise.interest rate costs are a significant factor for many businesses, particularly for companies with high debt loads or who have to finance high inventory levels. This interest cost has a direct impact on corporate profits. The bottom line is that higher interest rates are bearish for the stock market, while lower interest rates are bullish.
• For weeks in advance, market participants speculate about the possibility of an interest rate change at these meetings. If the outcome is different from expectations, the impact on the markets can be dramatic and far-reaching.
• Changes in monetary policy are now announced immediately after FOMC meetings.