On Tuesday, during FOMC meeting U.S. Federal reserve is expected to lift its short-term interest rate by 25 basis points to 1.75% from 1.5% despite of coming presidential elections and slight softness in the economy.

Tuesday meeting will show whether U.S. economy “soft patch” is over, specialists say. In that case they predict more interest rate rises. Alan Greenspan in his testimony to the Congress said that economy expansion “has regained some traction” pointing out ending of the soft patch.

Economists say there’s no longer need to stimulate economic recovery, and that increases possibility of raising interest rates. "The Fed’s No. 1 goal here is just to remove some of the unneeded stimulus," said Richard Yamarone, economist at Argus Research Corp.

FOMC states that rate will possibly be increased from its lowest since 1958. Fed’s next increase is expected for mid-November and mid-December.