Will the Fed’s outlook support investors’ rate cut hopes?
There is no expectation of a move in interest rates at the Federal Reserve’s two-day meeting, ending on Wednesday, but big questions remain about what the world’s most influential central bank will do next year.
Alongside its post-meeting statement, the Fed will publish updated economic projections, including its quarterly “dot plot” showing where members of its rate-setting committee expect rates to be over time.
Since the Fed’s last dots published in September, stocks and bonds have rallied on expectations that a softening economy and slowing inflation will allow the central bank to cut rates, potentially as soon as March.
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