Created
: 2025.09.25
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
Fed's Schmid: Recent data points to rising risks to job market
World FX news
Breaking news
Fed's Schmid: Recent data points to rising risks to job market
2025.09.25 22:06
2025.09.25 22:06
Federal Reserve (Fed) Bank of Kansas City President Jeffrey Schmid said on Thursday that the Fed is currently close to meeting its mandates but added that policy must be forward-looking, per Reuters.
Key takeaways
"Rate cut was appropriate to offset risks to the labor market."
"Recent data points to rising risks to job market."
"Inflation is still too high, current job market largely in balance."
"Fed policy is slightly restrictive, which is the right place to be."
"Going forward, will be data-dependent on monetary policy choices."
"Fed's bank supervision role is important for broader mission."
Market reaction
These comments received a neutral/hawkish score of 5.8 from FXStreet Fed Speech Tracker. In turn, FXStreet Fed Sentiment Index holds slightly above the neutral line of 100.00.
The US Dollar Index preserves its strength following these remarks and was last seen rising 0.38% on the day at 98.20.
Fed FAQs
Monetary policy in the US is shaped by the Federal Reserve (Fed). The Fed has two mandates: to achieve price stability and foster full employment. Its primary tool to achieve these goals is by adjusting interest rates. When prices are rising too quickly and inflation is above the Fed's 2% target, it raises interest rates, increasing borrowing costs throughout the economy. This results in a stronger US Dollar (USD) as it makes the US a more attractive place for international investors to park their money. When inflation falls below 2% or the Unemployment Rate is too high, the Fed may lower interest rates to encourage borrowing, which weighs on the Greenback.
The Federal Reserve (Fed) holds eight policy meetings a year, where the Federal Open Market Committee (FOMC) assesses economic conditions and makes monetary policy decisions. The FOMC is attended by twelve Fed officials - the seven members of the Board of Governors, the president of the Federal Reserve Bank of New York, and four of the remaining eleven regional Reserve Bank presidents, who serve one-year terms on a rotating basis.
In extreme situations, the Federal Reserve may resort to a policy named Quantitative Easing (QE). QE is the process by which the Fed substantially increases the flow of credit in a stuck financial system. It is a non-standard policy measure used during crises or when inflation is extremely low. It was the Fed's weapon of choice during the Great Financial Crisis in 2008. It involves the Fed printing more Dollars and using them to buy high grade bonds from financial institutions. QE usually weakens the US Dollar.
Quantitative tightening (QT) is the reverse process of QE, whereby the Federal Reserve stops buying bonds from financial institutions and does not reinvest the principal from the bonds it holds maturing, to purchase new bonds. It is usually positive for the value of the US Dollar.
Last updated
: 2025.09.25
Related articles
USD/CHF steadies on trade optimism, Swiss deflation pressures
2025.10.23 02:05AUD/USD rises modestly on trade optimism as eyes turn to PMI, US inflation
2025.10.23 00:53EUR/USD Price Forecast: Euro finds footing as US Dollar slips from one-week highs
2025.10.23 00:52GBP/USD steady near 1.3360 post soft UK CPI
2025.10.23 00:47EUR/JPY steadies near 176.00 as Japan's stimulus and BoJ-ECB divergence weigh
2025.10.22 23:38EUR/CHF rebounds from 11-month low amid ECB, SNB policy signals
2025.10.22 22:32
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
WTI gains traction amid surprise US inventory draw and weaker Greenback
West Texas Intermediate (WTI) Crude Oil edges higher on Wednesday, extending gains for the second consecutive session as traders react to a surprise draw in US inventories.
New
2025.10.23 03:19Gold extends losses ahead of key US inflation report
Gold price slides over 1.50% on Wednesday after plummeting more than 5% on Tuesday in its biggest daily loss in five years as traders brace for the release of the latest inflation report in the United States (US). At the time of writing, XAU/USD trades at $4,050 after reaching a high of $4,161.
New
2025.10.23 03:06USD/CHF steadies on trade optimism, Swiss deflation pressures
The USD/CHF pair is down 0.10% on Wednesday, trading around 0.7950 at the time of writing, after bouncing from the 0.7900 area earlier this week.
New
2025.10.23 02:05AUD/USD rises modestly on trade optimism as eyes turn to PMI, US inflation
AUD/USD trades slightly higher around 0.6500 on Wednesday at the time of writing, up about 0.10% for the day. The pair benefits from a renewed risk-on mood, as investors welcome more constructive signals on the trade front between the United States (US) and China.
New
2025.10.23 00:53EUR/USD Price Forecast: Euro finds footing as US Dollar slips from one-week highs
The Euro (EUR) edges higher against the US Dollar (USD) on Wednesday, snapping a three-day losing streak as the Greenback loses momentum. At the time of writing, EUR/USD is trading around 1.1611, bouncing off the intraday low near 1.1576.
New
2025.10.23 00:52GBP/USD steady near 1.3360 post soft UK CPI
GBP/USD holds firm during the North American session after the latest inflation report in the Great Britain, triggered some weakness on Sterling as expectations for further easing by the Bank of England, increased. The pair trades at 1.3362 virtually unchanged after diving to 1.3305 post CPI data.
New
2025.10.23 00:47EUR/JPY steadies near 176.00 as Japan's stimulus and BoJ-ECB divergence weigh
The Euro (EUR) steadies against the Japanese Yen (JPY) on Wednesday, trading around 176.26 after snapping a four-day losing streak on Tuesday.
New
2025.10.22 23:38EUR/CHF rebounds from 11-month low amid ECB, SNB policy signals
The Euro (EUR) steadies against the Swiss Franc (CHF) on Wednesday, recovering after briefly hitting an 11-month low near 0.9205 on Tuesday. At the time of writing, EUR/CHF trades around 0.9240, as the Euro stages a mild technical rebound from oversold conditions.
New
2025.10.22 22:32EUR/USD extends loses with ECB's Lagarde, Fed speakers on focus
EUR/USD has retraced previous gains on Wednesday, to extend its decline to one-week lows below 1.1600, trading at 1.1586 at the time of writing.
New
2025.10.22 20:59Gold declines as profit taking and firmer US Dollar drive losses
Gold (XAU/USD) extends its decline on Wednesday, losing further ground after Tuesday's sharp correction from record highs, as improving risk sentiment kept buyers on the sidelines.
New
2025.10.22 20:47Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
