Fed Likely to Hold Rates Steady, But Rate Cut Talks Ongoing Amid Inflation Fight

• Fed expected to maintain key lending rate unchanged on Wednesday, continuing rate cut discussions amid inflation battle • Fed raised rates to 23-year high of 5.25-5.50% in 2023 to stabilize 2% inflation target
• US economy remains strong in 2023 with low unemployment, moderated wage growth, better-than-expected Q4 growth • Fed release will indicate policymakers' rate expectations for year-end; December plan was 3 cuts in 2024 to manage inflation • Path of rate cuts uncertain; possibility of adjustments based on economic indicators and inflation trends