Fed rate-cut doubts rise as Middle East conflict drives up energy prices

March 3 (Reuters) – Traders are paring back their expectations on interest-rate cuts this year by the U.S. Federal Reserve, as they fear that the inflationary effects ​of a surge in energy prices will complicate the ‌central bank’s monetary policy path.

Crude oil prices climbed for a third straight session, as the U.S.-Israeli conflict with Iran widens, disrupting fuel shipments and heightening fears of further supply disruption to oil and gas from ‌the ​Middle East.

Here’s how the markets are ⁠currently looking at the ⁠U.S. central bank’s outlook:

(Reporting by Shashwat Chauhan in Bengaluru; Editing ​by Arun Koyyur)