Market Snapshot
The market for a Fed rate hike in 2026 is currently priced at 51.5% YES, down from 55% the previous day. The market for no Fed rate cuts in 2026 is at 80% YES, maintaining its level from 24 hours earlier.
Key Takeaways
Inflation reaching its highest level in three years appears to suggest increased pressure on the Federal Reserve to consider rate hikes in 2026.
Market pricing suggests participants see a reduced likelihood of Fed rate cuts in 2026, consistent with controlling inflation.
