FOMC Press Conference is a quarterly event, which attracts the attention of financial analysts and economists from around the world. During the press conference, the US Federal Open Market Committee members respond to journalists' questions about the US monetary policy, inflation prospects and measures taken to achieve its target level.
The US Federal Open Market Committee is responsible for developing and implementing the monetary policy of the country, which is aimed at maintaining price stability, economic growth, full employment and sustainability of international trade. It includes 12 voting members (7 members of the Fed's Board of Governors and Presidents of five federal reserve banks). As a rule, several members of the Committee take part in the press conference.
The index allows making conclusions about the terms of interest rate changes, as well as easing or tightening of the monetary policy, depending on the speaker's rhetoric.
The statements of FOMC members contain an assessment of current economic conditions in the country. If the rhetoric suggests a possible hike in the Fed's interest rate or tightening of the country's monetary policy during several next meetings, such a speech may lead to a near-term volatility of the dollar towards growth. If the Committee's rhetoric is cautious or conservative, it rarely affects the exchange rate of the national currency.