Wall Street has grown anxious as speculation that the Federal Reserve will cut interest rates grows. The Fed is anticipated to cut interest rates for the first time since 2020, though it’s not known by how much.

The Federal Reserve is virtually certain to deliver an interest rate cut when it concludes its policy meeting on Wednesday, but the size of that cut remains far from certain. Fed-funds futures traders have priced in a knife-edge decision between a standard cut of 25 basis points or an outsize move of 50 basis points.

Inflation is still sticky: car insurance, daycare, rent. Inflation data, however, hasn't justified such a move as yet, and the labor market, which represents the second side of th