Preview: Fed To Remain in Hold, Amid Trade and Israel-Iran War-Related Uncertainties

by Nouriel Roubini, Brunello Rosa and Nato Balavadze

In this paper we discuss:

• Our latest assessment of the US economy, which remains resilient in spite of the recent GDP contraction; 
• The no-action we expect from the Fed this week, and what the Fed may do in coming months; 
• The downward revision to growth and the upward revision to the inflation outlook; and
• The expected market reaction from the statement and Powell’s conference. 

Download PDF: Fed Preview June 2025