RBA Rate Hike Outlook: Impact on AUD/USD and ASX 200 
RBA Raises Interest Rates to 4.35% Amid Rising Inflation Risks and Middle East Tensions 
Bank of Japan's Ueda Flags Low Real Interest Rates as Key Factor in Rate Hike Timing 
Japan Inflation Expectations Rise as BOJ Rate Hike Timing Faces Uncertainty 
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Paraguay Holds Interest Rate at 5.5% as Inflation Remains Stable Amid Global Uncertainty 
Eurozone Recession Risks Rise as Middle East Conflict Threatens Growth, ECB Official Warns 
Kevin Warsh Advances Toward Fed Chair Role Amid Political Tensions 
Bank of Japan Signals Potential Rate Hike as Inflation Risks Rise Amid Energy Shock 
South Korea Central Bank Signals Cautious Policy Amid Inflation and Middle East Tensions 
DOJ Ends Probe Into Fed Chair Jerome Powell, Boosting Kevin Warsh Confirmation Prospects 
The Federal Open Market Committee (FOMC) maintained the policy rate at 3.5%–3.75% for the second straight meeting
The Fed adjusted its language on the labor market in its statement, stating that the unemployment rate has "been little changed in recent months" rather than "shown signs of stabilization," and emphasized the increased uncertainty in the outlook brought on by the ongoing violence in the Middle East.
The Fed published its revised Summary of Economic Projections (SEP), which included the median projections of FOMC members, along with the ruling. in contrast to the December upgrade.
The long-term forecast was raised to 2.0% from 1.8%, while real GDP growth projections were increased to 2.4% for 2026 (from 2.3%) and 2.3% for 2027 (from 2.0%).
The unemployment rate for 2026 stayed at 4.4%, however it was somewhat raised to 4.3% (from 4.2%) for 2027.
Core PCE inflation revised up from 2.5% to 2.7% for 2026 and from 2.1% to 2.2% for 2027.
The median federal funds rate forecast remained the same, showing one more 25 basis point reduction in 2026 and 2027. However, compared to 11 in the December predictions, 14 participants now anticipate one or no reduction this year.
The decision was approved by 11 of 12 members, with Stephen Miran dissenting in favor of a 25 bps rate cut.
