Markets Brace for Near-Certain Fed Rate Hike and Its Economic Signals

The U.S. Federal Reserve is widely expected to raise interest rates in its upcoming decision. Traders are largely treating the hike as a foregone conclusion, meaning the move itself may cause little immediate market surprise. Instead, market participants are likely to focus on what sustained higher rates signal about the broader state of the economy. The key question for investors is how to interpret the Fed's tightening stance in terms of future economic growth and financial conditions.