The Federal Reserve is gearing up to shift policy tightening into high gear.

The US Federal Reserve will announce its latest interest rate decision by today.

The Fed is also likely to announce that it will sell $95 billion in bonds every month, reducing its bond holdings to $9 trillion.

After India's central bank today, economists warn the market about Fed chief Powell's possible interest rate hike, following the same footprint.

"Not all hope is lost here .... when it comes to 75 bp rate rise in May, that action is not my base case." St. Louis Fed President James Bullard almost surrendered in April.

The market is under pressure, eagerly waiting for Powell's announcement; the trade deficit has already widened the gap by 22.3%, imports jumped by 10.3%

Investors expect the Fed to boost rates to roughly 3.25% by the end of next year.

The decision is set to take shape amid pandemic, record inflation, GDP drop and Russian invasion.

The interest rate is scheduled to be raised from 0.5% to 1%, S&P 500 is already down by -35% at 4160.94.

Between May and July, the Treasury Department aims to reduce the size of its nominal coupon auctions.