There’s no mystery about what the  Federal Reserve will do with interest-rate policy at a meeting this week: It’s widely expected to keep the overnight federal funds rate at 5.25 percent, where it’s been for a year now.

That lack of suspense doesn’t keep market pros from looking for nuances in the Fed’s policy statement, which will be issued Thursday afternoon. I asked David Darst, chief investment strategist at Morgan Stanley’s global wealth management group, what he’ll be watching for, and this was his checklist:

• The strength of the language concerning inflation. (In May, the Fed’s statement said inflation remained “somewhat elevated” but that inflationary pressures “seem likely to moderate over time.”
• Any mention of financial-market conditions, especially in the wake of Bear Stearns’ bailout of two hedge funds.
• References to the housing market.

   If the  housing  slump gets deep enough and long enough, Darst still thinks the Fed may have to cut interest rates. A statement emphasizing inflation, on the other hand, may point to rate increases down the road. “I would be looking for whether they are going to stay right down the midle of the fairway, or are they going to emphsize the risks one way or another,” Darst said.