Fed rate cut outlook: Dow Futures dropped 232 points to 47,751 as inflation fears hit the US stock market. Oil surged from $72.50 to $82 per barrel after the Iran conflict. Investors now question the Federal Reserve rate cut outlook. The Fed funds rate remains 3.5%–3.75%. Economists say a $10 oil rise can lift US core inflation by 0.1%. That pressure could force the Federal Reserve to pause rate cuts under the Taylor Rule. Markets now watch Fed policy, inflation data, and US interest rates closely.
