U.S. Rate Cut Chances Hover Around 50/50 Again
The chance that the U.S. Federal Reserve will cut interest rates by 50 basis points in September surged to 47%, according to CME Group data at the time of publication.
On this page
The chance that the U.S. Federal Reserve will cut interest rates by 50 basis points in September surged to 47%, according to CME Group data at the time of publication.
September 18, 2024 Target Rate Probabilities. Source: cmegroup.com
Just two days prior, when August inflation figures were released, the probability was only 15%.
It’s crucial to understand that these numbers have been fluctuating significantly in recent days. While the projections are informative, they don’t guarantee the Fed’s actual decision, which will be announced on September 18.
The surge in probability came after a Wall Street Journal article that featured insights from various experts, including former Fed officials.
Additionally, former New York Fed President Bill Dudley's comments at the Bretton Woods Committee’s “Future of Finance” forum in Singapore contributed to the shift.
I think there's a strong case for 50, whether they're going to do it or not,
Dudley commented.
The content on The Coinomist is for informational purposes only and should not be interpreted as financial advice. While we strive to provide accurate and up-to-date information, we do not guarantee the accuracy, completeness, or reliability of any content. Neither we accept liability for any errors or omissions in the information provided or for any financial losses incurred as a result of relying on this information. Actions based on this content are at your own risk. Always do your own research and consult a professional. See our Terms, Privacy Policy, and Disclaimers for more details.
Articles by this author
