US Federal Reserve Expected to Hold Rates Steady Amid Inflation and Geopolitical Tensions

Markets anticipate the US Federal Reserve will maintain current interest rates at its upcoming meeting, the second under Chairman Kevin Warsh. This decision is expected despite persistent inflation concerns, with US consumer inflation easing to 3.5% year-on-year last month, still above the Fed's 2% target. Rising energy prices, including oil breaching $100 per barrel due to renewed US-Iran hostilities, are exacerbating inflation worries and putting central banks in the spotlight.