FOMC preview: no major changes are expected at this week's policy meeting (Tuesday, Wednesday). The Fed is widely expected to leave its 1.00% to 1.25% rate band in place thanks mainly to the slowing in inflation. Many Committee members also want more evidence of a pick-up in growth after the disappointing 1.4% Q1 pace. While there has been some speculation the Fed could announce the start of quantitative tightening, QT, analysts're doubtful. Even though the FOMC surprised the markets at its June meeting by outlining details of it balance sheet unwind, there has been little Fedspeak since to prepare the markets for the initiation of the run-off as soon as August. Analysts also suspect the Fed wants more evidence to support their forecasts for a pick up in growth. Analysts look for the Fed to announce QT either in August or September, and hike rates again in December. In terms of the economic outlook, the Fed's statement should be similar to June's and will remain upbeat on the job market, cautiously optimistic on the economy, and somewhat circumspect on inflation.