Next week on September 18, the Federal Reserve is expected to cut interest rates by 25 basis points.
With the recent easing of inflationary pressures and rising unemployment rates in the United States, market expectations for a more substantial interest rate cut by the Federal Reserve have increased. Market participants are increasingly betting that the Federal Reserve may take more aggressive interest rate cuts at its upcoming policy meeting.
According to data from the Chicago Mercantile Exchange (CME), the market currently expects a 59% chance of the Fed cutting rates by 25 basis points, while the probability of a 50 basis point cut is 41%.
This change contrasts with market pricing following Wednesday's U.S. Consumer Price Index (CPI) report, when the Fed was widely expected to opt for a more dovish 25 basis points rate cut. $BTC
