The Federal Reserve is likely to mark a formal shift away from its easing bias at the June 16-17 meeting, with some markets even pricing in a potential rate hike later in 2026 www.forbes.com . Chair Kevin Warsh's first FOMC meeting is expected to emphasize data dependency and a neutral stance www.forbes.com .

Policy Pivot

This signaling represents a significant pivot from the aggressive rate cuts of previous years, reflecting the Fed's confidence in the labor market and its ongoing battle to fully extinguish inflationary pressures www.forbes.com .