Federal Reserve could signal no interest rate cuts this year in wake of Iran war

WASHINGTON (AP) — Fed Chair Jerome Powell is almost certain to announce Wednesday (March 18, 2026) that the central bank has kept its key rate unchanged for the second straight meeting at about 3.6%. But the Fed will also release a set of quarterly projections, and they could alter their forecast of one rate cut this year to zero. While such a change might seem minor, it would be a major course correction after 18 months of on-again, off-again rate cuts.