BOJ Governor Signals Further Rate Hikes as Japan’s Economy and Inflation Stay on Track 
Bank of Korea Expected to Hold Interest Rates as Weak Won Limits Policy Easing 
South Korea Vows Action to Stabilize Won as Currency Weakens Despite Strong Fundamentals 
RBA Deputy Governor Says November Inflation Slowdown Helpful but Still Above Target 
Philippine Central Bank Signals Steady Interest Rates as Inflation Rises and Growth Slows 
ECB Signals Steady Interest Rates as Fed Risks Loom Over Outlook 
U.S. Prosecutors Investigate Fed Chair Jerome Powell Over Headquarters Renovation 
Morgan Stanley Raises KOSPI Target to 5,200 on Strong Earnings and Reform Momentum 
Fed’s Anna Paulson Signals Rate Cuts May Come Later as Inflation Cools and Labor Market Stabilizes 
Bank of England Expected to Hold Interest Rates at 3.75% as Inflation Remains Elevated 
Today marks the close of the Federal Reserve's FOMC meeting; markets mostly anticipate the federal funds rate to be left steady at 3.5%–3.75%. Notwithstanding a series of rate reductions in late 2025, inflation remains over the Fed's 2% target, hence restricting room for more near-term easing. Although some experts even warn of a non-trivial possibility of further increases if price pressures persist, the basic assumption at this meeting is a stable policy position.
New projections will likely strengthen a "higher for longer" narrative. The new dot plot should only include limited cuts penciled in for 2026—perhaps only one movement down. Emphasizing a still-resilient economy battling with somewhat persistent inflation, the Fed's outlook projects GDP growth of roughly 2.3%, unemployment around 4.4%, and core PCE inflation roughly 2.5%.
Beyond the numbers, the focus will be on Chair Jerome Powell’s press conference and the Fed’s posture on its independence. The choice follows political pressure from President Trump for quicker, larger rate cuts, as well as investigations into Powell and the central bank. Powell is likely to highlight patience and data reliance, balancing indications of a softening labor market with persistent inflation, while markets pore over his remarks for any clues on a March move or a more hawkish shift.
