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FOMC Rally

Definition

An FOMC rally describes a period of market price appreciation following a Federal Open Market Committee announcement. This upward price movement typically occurs when the committee’s statements or decisions, particularly concerning interest rates or quantitative easing, are perceived as favorable or less restrictive than anticipated by market participants. Such rallies reflect investor optimism about future economic conditions and monetary policy accommodation. The effect can be observed across various asset classes, including traditional equities and digital currencies, due to interconnected market sentiment.