Fed Decision, Geopolitics, and Earnings Set Stage for Volatile Wall Street Session

Wall Street is bracing for one of its busiest sessions this quarter as investors await the Federal Reserve's interest rate decision later today. The central bank will announce its policy decision, followed by a press conference with Chair Kevin Warsh.

The FedWatch data indicates that traders assign a 64% probability to leaving interest rates unchanged at 3.5%-3.75%. A minority expects a 25-basis-point increase, marking one of the most uncertain policy meetings in recent months.

The decision comes as oil prices jumped after Iran launched fresh attacks on US forces in the Middle East, pushing Brent crude up nearly 4% to around $87 a barrel and West Texas Intermediate up about 3% to trade near $82 a barrel. Corporate earnings will also shape market sentiment, with South Korean memory chip maker SK Hynix reporting a 557% year-on-year jump in second-quarter operating profit.