BoA are wary of a Federal Open Market Committee (FOMC) pause after a March hike

A snippet from U.S. economist at Bank of America Securities Michael Gapen on the Federal Open Market Committee (FOMC) rate hile this week and Powell's press conference:

• we continue to expect the Fed to lift its policy rate two more times in 25bp increments for a terminal target range of 5.0-5.25%

The 'but' is that the:

• FOMC communication raise a distinct risk that the Fed hikes once more in March and pauses at a target range of 4.75%-5.0%

Earlier, ICYMI:

• Forexlive Americas FX news wrap: Powell says "the disinflationary process has started"

• Federal Reserve hike rates by 25 basis points, as expected
• Powell opening statement: We have more work to do
• Powell Q&A: It is important that financial conditions reflect policy restraint in place
• Powell opens the door to rate cuts this year "if inflation comes down much faster"
• A comparison of the December 2022 FOMC statement to the February 2023 statement
• The full FOMC statement from the February 2023 Federal Reserve meeting

And, a small collection of responses:

• Morgan Stanley expect the Federal Reserve to pause at the March meeting - 'disinflation'

• FOMC responses - inflation still high, more +25bp hikes ahead
• Forecast for a FOMC March meeting 25bp hike, then on hold at 4.875% the the end of 2023

• BlackRock's Rieder expects slow, steady Fed 25bp rate hikes, still work to do on inflation