Fed’s Wait-and-See Strategy Sparks Investor Concerns

US Economy Teeters on Thin Line Amid Trade Tensions and Uncertainty

The Federal Reserve is adopting a cautious approach this week, seeking to reassure investors that the economy remains stable while remaining prepared to intervene if needed. Federal Reserve Chairman Jerome Powell has been emphasizing the country’s resilience, but market concerns are growing due to President Donald Trump’s rapidly escalating trade war.

Market indicators show a decline in stocks over the past month, with bond yields and consumer sentiment also experiencing downturns. Investors are anxious about the economic outlook, leading policymakers to tread carefully to avoid exacerbating the situation.

Source: https://www.bloomberg.com/news/articles/2025-03-16/fed-meeting-this-week-has-investors-anxiously-awaiting-powell-s-remarks