Fed may leave rates unchanged, while investors' attention will also turn on U.S. macro data, BoE and BoJ meetings and Nvidia GTC conference. | Credit: Kent Nishimura/Getty Images
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Key Takeaways
The Federal Reserve is expected to keep interest rates unchanged, with focus shifting to future policy guidance.
Investors are watching U.S. economic data and central bank decisions in Europe and Asia.
Nvidia’s GTC event may provide insights into AI chip advancements and market trends.
Bitcoin remains volatile, struggling to hold above $83,000 amid technical resistance.
While no rate change is expected, markets will be looking for clues on future cuts. Meanwhile, a wave of U.S. economic data, central bank meetings in Europe and Japan, and Nvidia’s much-anticipated GTC event could all drive market moves.
And in crypto, Bitcoin’s (BTC) latest price swings are keeping traders on edge. Here’s what to watch.
While the decision itself may be uneventful, investors will closely analyze the central bank’s updated economic projections and Fed Chair Jerome Powell’s remarks for clues on the path forward.
A key focus will be the Fed’s “dot plot,” which outlines policymakers’ interest rate forecasts. In December 2024, officials signaled a gradual easing in the years ahead, but persistent inflation and shifting economic conditions could alter that outlook.
Kathleen Brooks, research director at XTB, told CCN that recent data—particularly rising inflation expectations in the University of Michigan survey—suggests the Fed may remain cautious about cutting rates too soon.
“Meanwhile, Trump’s escalated trade rhetoric, including tariffs, poses new challenges for the Fed, balancing uncertain growth and inflation,” Brooks said.
The market will also be watching how the Fed addresses recent stock market volatility, with the S&P 500 and Nasdaq struggling to hold gains.
For Brooks, the central bank is walking a fine line: taming inflation while preventing a slowdown. Any indication from Powell that rate cuts aren’t coming as quickly as markets hope could weigh on equities and other risk assets.
Thursday: Initial Jobless Claims, Philly Fed Manufacturing Data, February Existing Home Sales.
In Europe, attention is on Eurozone inflation data, due Wednesday, which is expected to show a slight decline to 2.4% from 2.5%, though still above the European Central Bank’s (ECB) 2% target.
The Bank of England (BOE) is also scheduled to meet on Thursday, with markets betting on a rate cut later in the year.
Current pricing suggests a 75% chance of a rate cut in May and 55% in August, though persistent wage growth could keep the BOE cautious.
Meanwhile, in Asia, the Bank of Japan (BOJ) is expected to keep rates steady.
However, speculation is growing over potential rate hikes later this year, especially after recent strong wage negotiation outcomes.
A hawkish tone from the BOJ could drive the yen higher and impact the USD/JPY currency pair.
Nvidia GTC Event: AI Market at a Crossroads
Nvidia is back in focus this week as CEO Jensen Huang is set to deliver a keynote at the GTC (GPU Technology Conference), where the company may unveil its next-generation AI chip, the GB300.
Although Nvidia’s stock is down 10% year-to-date, it staged a 10% rebound last week, fueling optimism among investors.
Analysts believe Huang’s speech could be pivotal in addressing concerns about the demand for AI chips, particularly as Chinese AI models increasingly rely on leaner architectures using less advanced Nvidia chips.
“What Huang says about Nvidia, the lynchpin of the U.S. AI trade, could determine if the Nasdaq 100 can extend its recent recovery,” Brooks told CCN.
Nvidia is also worth watching this week. Although the stock price is down 10% year-to-date, it staged an impressive rally last week and rose by 10%.
In addition to the GB300 AI chip, which may begin shipping in May, Nvidia could also provide a first look at its Rubin series of graphics processing units (GPUs), set to replace the current Blackwell processors in 2026.
Bitcoin Struggles to Hold Above $85,000
Bitcoin remains highly volatile as it approaches the $85,000 level, with recent price swings indicating growing bearish pressure. As of Mar. 17, BTC is trading around $83,500, fluctuating between $82,000 and $84,000.
Technical indicators show weakening momentum, with the RSI retreating below 50% and the MACD approaching crossover points, signaling potential downturns.
Bitcoin price chart. | Credit: TradingView
Bitcoin remains below its 100-day SMA, further reinforcing resistance. If BTC fails to hold above $73,919, a further retracement toward $65,082 or $60,152 could be possible.
Bitcoin’s price action remains a battleground between bulls and bears, with upcoming macroeconomic events and Fed guidance likely to influence its next major move.
Whether Bitcoin can push past $90,000 or faces another pullback remains the key question for traders in the coming week.
Giuseppe Ciccomascolo began his career as an investigative journalist in Italy, where he contributed to both local and national newspapers, focusing on various financial sectors.
Upon relocating to London, he worked as an analyst for Fitch's CapitalStructure and later as a Senior Reporter for Alliance News. In 2017, Giuseppe transitioned to covering cryptocurrency-related news, producing documentaries and articles on Bitcoin and other emerging digital currencies. He also played a pivotal role in establishing the academy for a cryptocurrency exchange website. Crypto remained his primary area of interest throughout his tenure as a writer for ThirdFloor.
