Svmuu News UBS noted in its latest report that the first monetary policy meeting following Kevin Warsh’s appointment as Chairman of the Federal Reserve sent a clearly hawkish signal, but market bets on interest rate hikes this year may be overly aggressive. UBS Federal Reserve is expected to keep the federal funds rate unchanged at 3.50% to 3.75% for the remainder of the year, and recommends that investors increase their allocations to high-quality bonds with short- and medium-term durations to lock in current higher yields.