The Federal Reserve on Wednesday will conclude its two-day meeting, in an effort to influence monetary policy amid tentative signs of recovery from the economy's prolonged recession. Economists expect the Federal Open Market Committee (FOMC) to maintain it's near-zero interest rate policy and to reaffirm a commitment to keep injecting money into the economy to battle the recession. The panel, led by Chairman Ben Bernanke, was due to release its statement at the end of the meeting Wednesday. Analysts say that although no change in policy is expected, the Fed statement will be critical to the central bank view on the recovery and when it may end its vast simulative effort some call “quantitative easing.” “Supporting a weak economy and addressing concerns over the expansion of the Fed balance sheet will form the core of the upcoming FOMC monetary statement,” said Joseph Brusuelas, a director at Moody's Economy.com. While a change in the benchmark federal funds rate is unlikely, traders are expected to look out for clues on the unconventional quantitative easing program and inflation, said Mike Schwager, market strategist at Claymore Securities.
