BofA Securities expects no major surprises at next week's FOMC meeting

Bank of America (BofA) Securities has projected that next week's Federal Open Market Committee (FOMC) meeting is unlikely to yield any major surprises. The firm noted that Fed Chair Jerome Powell's press conference could focus more on political matters than on policy. According to BofA, investors will likely pay close attention to Powell's comments on the decline in the December unemployment rate and the correlation between strong economic activity and the neutral interest rate. The market widely anticipates an interest rate freeze in January, and BofA similarly expects the committee to maintain its existing stance rather than making significant policy changes.