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The Tell: Here’s how the stock market might react to Fed’s interest-rate decision and dot plot

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Investors have been anxiously awaiting the Federal Reserve’s policy decision due Wednesday afternoon as softer inflation data fuels expectations of a more moderate approach from the central bank on raising interest rates. 

While Tuesday’s consumer-price index was a welcomed sign that sparked a solid rally in both stocks and bonds, it didn’t result in a meaningful change to what’s expected from the central bank on Wednesday at 2 p.m. Eastern, said Tom Essaye, the founder and president of Sevens Report Research. 

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