Posted 3/14/2024, 2:01:00 AM
Markets Cautious Ahead of Fed Meeting, As Hot Inflation Data Clouds Rate Cut Timing
- Currency market was quiet ahead of key US economic data that could provide clues about future Fed policy
- Tuesday's hot CPI data has renewed questions about whether Fed will start cutting rates in June as expected
- Markets see 65% chance of June rate cut, down from 71% earlier in the week
- Attention turning to Fed meeting next week and updated economic projections
- If Fed is more hawkish next week, it could lower expected rate cuts this year from 3 to 2 and push back timing