The Federal Reserve held interest rates steady on Wednesday, but policymakers expect a hike in borrowing costs later this year amid growing concerns about inflation lodged above the U.S. central bank's two per cent target.

Futures markets overwhelmingly expect the Fed to hold interest rates steady.

Fed holds rates steady between 3.5% and 3.75%. Rate cuts in 2026 at 20.5% YES.

The Federal Reserve held interest rates steady at 3.5%-3.75% in Kevin Warsh's first meeting, with policymakers signaling potential rate hikes to combat surging inflation. Despite…