Fed Likely to Stay on Hold; How Decision is Framed is Key

Dow Jones
6 hours ago

0544 GMT - The Federal Reserve is expected to keep the fed funds rate stable at this week's meeting, and the impact of the decision will hinge heavily on how Chairman Kevin Warsh frames the decision and path ahead, Goldman Sachs analysts say in a note. The relative stability in the long end of the Treasury curve and contained inflation risk premia are vulnerable to an on-hold decision that is accompanied by limited guidance on the outlook or reaction function, the analysts say. Money markets currently price in a 31.5% probability of a rate hike this week, while the majority of the market anticipates unchanged rates. (emese.bartha@wsj.com)

 

(END) Dow Jones Newswires

July 27, 2026 01:44 ET (05:44 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10