Fed expected to raise rates on 2 Feb

Federal Reserve policymakers were widely expected to agree on a quarter-point increase in interest rates on Wednesday 2 February. The Federal Open Market Committee was expected to issue a statement at the conclusion of the session at about 2015GMT.

Analysts have been virtually unanimous, based on economic data and comments from FOMC members, in predicting a quarter-point increase in the federal funds rate to 2.50%.

Economists say Fed Chairman Alan Greenspan and his colleagues are trying to nor