FOMC

Fed Chair Powell holds rates at 3.50%-3.75%, resisting Trump pressure. Markets expect rates to remain unchanged through mid-2027, with Powell poised to maintain stance at his final meeting in May 2026.

Fed Governor Waller says March rate decision depends on February jobs data. Strong January employment growth has shifted the Fed toward a more cautious approach on rate cuts.

Fed policy shifts could threaten the stock market's current rally, as incoming Chair Warsh's preference for balance sheet deleveraging may raise borrowing costs and dampen economic growth.