US Fed likely to hike rates by 25 bps on Wednesday, say analysts

US Federal Reserve (US Fed) is likely to stay on course and hike interest rates by 25 basis points (bps) in its upcoming meeting on June 12 & 13. The possible hike in interest rates comes in the backdrop of elevated crude oil prices, global trade war fears and a firm dollar.

Most analysts expect the US central bank to hike rates at least twice this year – in June and in September, and follow it up with a couple of more hikes in calendar year 2019 (CY19). The Federal Reserve raised its policy interest rate last in march 2018,