Here's everything to expect from the Federal Reserve's policy meeting Wednesday

The Fed has a lot to do at its meeting this week, but ultimately may not end up doing a whole lot in terms of changing the outlook for monetary policy.

Federal Reserve Bank Chairman Jerome Powell testifies before the House Financial Services Committee in the Rayburn House Office Building on Capitol Hill on March 06, 2024 in Washington, DC.The Federal Reserve has a lot to do at its meeting this week, but ultimately may not end up doing a whole lot in terms of changing the outlook for monetary policy.

"They'll make it clear that they're obviously not ready to cut rates. They need a few more data points to feel confident that inflation is heading back to target," said Mark Zandi, chief economist at Moody's Analytics. "I expect them to reaffirm three rate cuts this year, so that would suggest the first rate cut would be in June."

The swing in expectations will make how the Fed delivers its message this week all the more important. Here's a quick look at what to expect:Though the quarterly plot of individual members' expectations is pretty arcane, this meeting likely will be all about the dots. Specifically, investors will look at how the 19 FOMC members, both voters and nonvoters, will indicate their expectations for rates through the end of the year and out to 2026 and beyond.

"We still expect the Fed to cut interest rates in June, although we don't expect officials to provide a strong steer either for or against" following the March meeting, wrote Paul Ashworth, chief North America economist at Capital Economics.Along with the dot plot, the Fed will release its quarterly update on the economy, specifically for gross domestic product, inflation and the unemployment rate.

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