The Stock Market Gets Big News From the Federal Reserve Today (March 19)
The Federal Reserve is charged with maintaining maximum employment and stable prices. To balance both goals, the U.S. central bank shapes monetary policy by adjusting the target range on a benchmark interest rate, known as the federal funds rate.Policymakers have reduced the benchmark rate 100 basis points since the cutting cycle began in September, but chose to pause cuts in January. The market expects that pause to continue at the March meeting, which ends today (March 19). Even so, investors are eagerly awaiting commentary.Policymakers will publish updated economic projections this afternoon, providing insight into the potential consequences of tariffs imposed by the Trump administration. The S&P 500 (SNPINDEX: ^GSPC) is currently 9% below its record high, but the stock market may continue falling if the Fed's outlook disappoints.Continue reading
The Federal Reserve is charged with maintaining maximum employment and stable prices. To balance both goals, the U.S. central bank shapes monetary policy by adjusting the target range on a benchmark interest rate, known as the federal funds rate.
Policymakers have reduced the benchmark rate 100 basis points since the cutting cycle began in September, but chose to pause cuts in January. The market expects that pause to continue at the March meeting, which ends today (March 19). Even so, investors are eagerly awaiting commentary.
Policymakers will publish updated economic projections this afternoon, providing insight into the potential consequences of tariffs imposed by the Trump administration. The S&P 500 (SNPINDEX: ^GSPC) is currently 9% below its record high, but the stock market may continue falling if the Fed's outlook disappoints.
