Fed Faces Bond Market Pressure Ahead of Rate Decision

Wall Street analysts expect a standoff between the Federal Reserve and the White House at this week's FOMC meeting, with a rate hike anticipated despite President Trump's push for looser policy. Treasury Secretary Scott Bessent warned that the bond market 'has taken down more governments than howitzers,' signaling caution against defying its power. The bond market's reaction to the Fed's hawkish narrative without policy follow-through has pushed yields higher, creating pressure for action.