This is CNBC’s live blog covering the Federal Open Market Committee meeting and Chair Jerome Powell’s press conference.
The Federal Reserve kept a steady hand on its overnight lending rate, maintaining a target range of 3.5% to 3.75%. The central bank’s “dot plot” suggests a cut may be in the cards this year.
The policymakers’ move comes at a key time for investors: Oil prices have been surging amid the Iran war, with Brent futures topping $109 a barrel at one point Wednesday. The producer price index report for February also came in hot, leading futures markets to sharply curtail the outlook for rate cuts this year. Fed funds futures trading now suggests there won’t be any realistic shot at a cut until at least December, according to CME Group’s FedWatch tool.
Traders will also keep an ear on Fed Chair Jerome Powell’s press conference at 2:30 p.m., searching for hints on what might be next for policy, particularly as inflation fears are swirling.
For Americans struggling in the face of affordability challenges, the central bank’s announcement does little to ease budgetary pressures.
