Fed rate hike expected

The Fed is expected to raise its target fed funds rate by a quarter percentage point from zero at the end of its two-day meeting Wednesday. Investors are also looking to the central bank for its new forecasts for rates, inflation and the economy, given the uncertainty from the escalated geopolitical tensions.

"At the moment, the Fed is expected to be cautious when it comes to interest rate policy in 2022, given the conflict in Ukraine," Lindsey Bell, chief markets and money strategist at Ally. "The conflict is adding complexity to the Fed's already difficult job. The central bank will likely remain data-dependent as it makes rate decisions throughout the year." $SPDR S&P 500 ETF (SPY.US)$ $S&P 500 Index (.SPX.US)$ $Nasdaq Composite Index (.IXIC.US)$ $Dow Jones Industrial Average (.DJI.US)$