Markets focus on Fed’s economic projections and new Chair Warsh’s press conference for policy clues amid easing energy prices.
The Federal Reserve is poised to leave interest rates unchanged at 3.5%-3.75% for a fourth straight meeting on Wednesday. The decision is widely anticipated, shifting attention to the revised Summary of Economic Projections and new Chair Kevin Warsh’s first post-meeting press conference.
Investors will scrutinize the Fed’s outlook for hints on future tightening, with markets pricing a 58% chance of a 25 basis point hike by year-end. WTI crude, which surged above $110 in March, has since retreated to around $80 following a US-Iran ceasefire but remains elevated.
The Fed’s stance could sway the USD, as traders assess whether recent energy price declines alter the policy trajectory.