Bank of America Global Research previews the April FOMC meeting on Wednesday.

"The Fed will remain firmly on hold at its April meeting. The inflation outlook is arguably as cloudy as it was at the time of the March meeting. Meanwhile, the recent labor data show resilience and potentially some green shoots. The big question around the FOMC statement is whether it will indicate that risks to the policy path are two-sided. We think it won't, but it's a close call. We anticipate only one dissent.

Chair Powell should sound hawkish in what will probably be his last presser. We'll be listening for a few things. First, how open-minded is he to rate hikes? Second, how does he balance war-driven inflation against downside risks to growth/labor? Third, what does he say about Kevin Warsh's comments last week and his own future at the Fed?" BofA notes.

"The April FOMC meeting is also unlikely to be a major event for the USD, but risks skew marginally bullish if Chair Powell reiterates his more hawkish tone from March," BofA adds.