US Federal Reserve Chairperson Janet Yellen is expected to give the rationale of its decision at a press conference later on Wednesday.
Ahead of the Federal Open Market Committee's (FOMC) meeting, IMF Managing Director Christine Lagarde had warned that emerging markets like India must prepare for the impact of a rise in US interest rates. In a speech at Reserve Bank of India in Mumbai Tuesday, she also warned that markets could be heading for a repeat of the 2013 "taper tantrum." "I am afraid this may not be a one-off episode," Lagarde said. "The timing of interest-rate liftoff and the pace of subsequent rate increase can still surprise markets."