The Federal Reserve is expected to leave interest rates unchanged at 3.50%–3.75%, putting Chair Kevin Warsh's press conference at the centre of the session. Microsoft and Meta report earnings after the close, and Fed guidance together with those results is expected to set the near-term direction for stocks, crypto and broader financial markets.
Policymakers are expected to keep rates unchanged at 3.50%–3.75%, which moves the market's attention to what arrives alongside the decision rather than the decision itself. Investors are watching Warsh's comments for clues on inflation and the outlook for future rate cuts.
Stocks stall as the FOMC meeting closes
Equities traded in a narrow range on July 29 as the two-day FOMC meeting wrapped up. The rate announcement and Warsh's press conference were scheduled for 2:00 p.m. and 2:30 p.m. ET respectively.
The June meeting still colours the outlook
That caution has a recent precedent. The June 16–17 FOMC meeting left markets with a hawkish taste, and traders will be parsing the committee's language for signs that its stance has softened. They are also weighing whether inflation concerns continue to keep rate cuts on the shelf.
Microsoft and Meta earnings land after the close
Microsoft and Meta report after the close, with investors watching AI spending, cloud growth, advertising revenue and profit margins. Wall Street expects Microsoft to post earnings per share of $4.21. According to Crypto Briefing, Apple's conference call follows on July 30 at 5:00 p.m. ET.
Both sets of results arrive amid heightened scrutiny over AI spending, and Alphabet has already reported earlier in the earnings cycle. Crypto Briefing calls Microsoft the clearest proxy for enterprise AI adoption because it has integrated AI tools across Azure and its Office suite.
Bitcoin holds near a two-week high
Bitcoin was creeping toward a two-week high near $65,500 while equities sat still. That move was supported by over $600 million in inflows into US spot Bitcoin ETFs over five consecutive trading days.
Risk assets, Bitcoin included, tend to see increased volatility around FOMC announcements.
Sources: Coinpedia Fintech News (snippet-based), Crypto Briefing
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