With economic view hazy, a wait-and-see Fed message expected

The government's May jobs report showed that employers added just 38,000 — the weakest monthly gain in five years — and that job growth has averaged only 116,000 the past three months, down from an average of 230,000 in the 12 months ending in April.

Other economic barometers have also sowed doubts — from tepid consumer spending and business investment to a slowdown in worker productivity to stresses from China other major economies.

"While the global economy has stabilized in the sense that it is not dropping like a rock, global economic growth remains anemic at best," said Sung Won Sohn, an economics professor at California State University, Channel Islands.

[...] Diane Swonk, chief economist at DS Economics in Chicago, said she thinks the Fed could raise rates in July if the June jobs report shows a robust rebound and financial markets remain calm after Britain's vote on leaving the EU.

Yellen and other Fed officials have said they expect to raise rates gradually after the job market shows further signs of improvement, including higher pay increases and inflation moving closer to the Fed's target.

Conversely, the Fed also wants to take care not to lead investors to inflate the prices of stocks and other assets out of a mistaken belief that it will keep rates ultra-low well into the future.