Investors Watching for Fed Meeting, Economic Data

Financial markets this week will be anxiously eyeing Tuesday’s meeting of the Federal Reserve’s policy-setting committee for any clues as to whether the Fed is ready to take its foot off the brakes of economic growth after six rate hikes in 1 1/2 years. But almost no one expects the central bank to do anything this time around amid signs the U.S. economy has slowed to a more relaxed but vigorous pace, while inflation stays low. Wall Street also expects a hefty infusion of economic data next week, with the spotlight falling on the monthly jobs report due Friday. The scarcity of workers has been a thorn in the side of the Fed Chairman Alan Greenspan, who has repeatedly expressed concern that the pressure to boost wages will foster inflation. According to a recent Reuters survey, analysts predicted the unemployment rate remaining steady at 4.1% in September.