Barclays Capital Research expects the Fed to raise the target range for the federal funds rate by 25bp to 1.00-1.25% at its June meeting this week.
"Although some details may be lacking, we expect the message on balance sheet policy to be clear: consensus has been reached and runoff is likely to begin soon.
Given our expectation of a rate hike in June and balance sheet runoff in September, we find it unlikely that the Fed will deliver a dovish message on the outlook," Barclays adds.
Source: Barclays ResearchOriginal Article
