From CNBC:

The Fed chair, Jerome Powell, seeks confirmation that inflation is moving closer to the central bank’s 2% target despite recent spikes in inflation readings.

Powell reassured that strong hiring in the labor market wouldn’t delay interest rate cuts, with the job market not being a cause for concern about inflation.

Higher inflationary data hasn’t changed the overall downward trend of inflation, according to Fed Chair Powell, who believes inflation is gradually moving towards the 2% target.

Principal Asset Management’s Seema Shah believes Powell needs a strong reason not to cut rates, showing reluctance to make changes before inflation hits the 2% target.

Market strategist David Russell believes investors are relieved with the Fed keeping the expectation of three rate cuts in 2024.

Although the Fed has not yet decided how to change the pace of its balance sheet reduction, Fed Chair Powell noted an adjustment is imminent.

Powell believes that the policy rate has likely peaked for this cycle, and that rate cuts are still expected later this year if economic growth continues as anticipated.

Global macro strategist Sonu Varghese sees the Fed’s decision to maintain the possibility of rate cuts as positive, suggesting a dovish stance despite holding interest rates unchanged.

Stocks rose modestly after the Fed announcement, with the S&P 500 gaining 0.3% and the Nasdaq Composite jumping 0.5%.

The Federal Reserve held rates steady in March and confirmed its call for three rate cuts this year.



Read more at CNBC: Live updates on March Fed rate decision