0619 GMT - The Federal Reserve is expected to raise rates once more in December, BNY's John Velis says in a note. BNY is less sure whether the Fed can proceed with as many interest-rate hikes in 2027 as the market has priced in, the Americas macro strategist says. "The answer hinges on how effective tighter policy can be given the current inflation shock," he says. Much revolves around the situation in the Middle East, where visibility is low, he says. "A pullback in tensions--and the lower oil prices that would follow--would likely change the markets' and the Fed's calculations," Velis says. But being beholden to a situation that could worsen before it improves isn't a tenable stance, he adds.