Wall Street Braces for Fed Decision Amid Trade Tensions

Wall Street is anticipating the Federal Reserve's monetary policy decision, with expectations for interest rates to remain unchanged. Traders predict rate cuts later in the year as concerns over U.S. trade policies persist. The markets are watching for new economic projections from Fed policymakers.

Wall Street is on edge as investors await the Federal Reserve's monetary policy decision, with key indexes poised for a higher open on Wednesday despite lingering trade policy concerns.

The central bank is anticipated to hold its overnight interest rate steady between 4.25% and 4.50%, expecting rate cuts later this year amid economic uncertainty exacerbated by President Donald Trump's trade policies. Key projections on economic growth, inflation, and unemployment are keenly awaited.

Meanwhile, the EU plans to tighten steel import quotas in response to U.S. tariffs, as analysts predict further trade barriers. Recent economic signals suggest a cooling U.S. economy, leading companies to adjust forecasts, while markets experience corrections and investors flock to safe havens like gold.

(With inputs from agencies.)