Hawkish-bias Fed could move rates quicker in 2018

Washington

THE Federal Reserve likely will leave the benchmark US interest rate untouched next week, but economists say the changing composition of the policy committee could point to faster rate hikes in 2018.

Markets are betting the first of the three interest rate moves expected this year will come at the Fed's next meeting in March. That will allow the Fed's interest-rate setting body, the Federal Open Market Committee (FOMC), to wait for firmer signs of inflation, which has long run below the Fed's two per cent target.