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Fed expected to hold rates steady; tech stocks may face volatility on hawkish signals.

Market News
23 Jul 2026
Seeking Alpha
View Source
Neutral
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The Federal Open Market Committee (FOMC) is expected to keep interest rates steady at 3.50-3.75% on July 29, 2026, with minimal stock market volatility anticipated from the decision itself. However, the tech sector, which has seen strong gains this year, may experience profit-taking if the Fed hints at a hawkish stance. Small-cap stocks could face more volatility due to their sensitivity to rates and leveraged balance sheets. Investors might shift toward energy stocks for protection amid rising oil prices and inflationary pressures from tariffs and energy costs.

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