Fed expected to hold rates
Analysts reported the Fed is likely to hold rates at the upcoming meeting this week, a macro signal that could tighten short‑term budget behavior and procurement caution (businessinsider.com) in live coverage. That backdrop may make buyers more risk‑averse on software spend in the near term.
CME FedWatch shows market‑implied odds above ninety‑nine percent that policy will remain unchanged at the March 18 FOMC decision. (centralbank.watch) The Federal Reserve’s current federal‑funds target range is 3.50%–3.75% on the board’s policy‑rate page. (federalreserve.gov) The two‑day FOMC meeting runs March 17–18 and will publish updated economic projections and hold Chair Powell’s press conference at 2:30 p.m. ET after the statement. (federalreserve.gov) February’s Consumer Price Index rose 0.3% month‑over‑month and 2.4% year‑over‑year, per the Bureau of Labor Statistics release. (bls.gov) The same BLS reporting showed nonfarm payrolls fell by 92,000 in February and the unemployment rate was 4.4%. (bls.gov) Reuters reports the Iran‑driven oil shock and sticky services/shelter inflation have tightened market expectations about near‑term easing and are a major reason traders expect the Fed to pause. (wtvbam.com) A sectoral impact: Reuters found a broad sell‑off in software stocks has begun to stall M&A and IPO activity, leaving prospective buyers and acquirers more cautious. (investing.com) Gartner’s forecast still projects worldwide IT spending of $6.08 trillion in 2026, but its 2026 CIO/CFO benchmarks show uneven budgets—many firms report budget pressure even as tech and AI remain prioritized. (gartner.com) Traders and procurement teams will key off the FOMC’s dot‑plot and policy tone, while futures pricing shows only modest odds of a 25‑bp cut by April and rising odds by June—variables that will shape short‑term buying windows. (federalreserve.gov)
