Fed to Approve 0.25% Rate Hike Despite Market Turmoil and Bank Crisis

Despite market turmoil and uncertainty, the Federal Reserve is expected to approve a quarter-percentage-point interest rate increase next week to continue the fight against inflation. The rate hike is likely to be accompanied by assurances that there's no preset path ahead, and the outlook could change depending on market behavior in the coming days. While some experts believe the Fed should not tighten policy under current conditions, most of Wall Street thinks the Fed will proceed with its policy direction. However, traders don't think any further rate hikes will hold, and current pricing indicates rate cuts ahead, putting the Fed's benchmark funds rate in a target range around 4% by year end.