Recent FOMC projections and the September 2026 rate hike to the 3.75-4.00% target range have driven the 96% market-implied probability of zero Fed rate cuts in 2026. Policymakers’ median dot plot now points to a 4.1% funds rate by year-end, with 16 of 18 participants expecting at least one additional hike amid resilient growth, a 4.1% unemployment forecast, and core PCE inflation revised to 3.4%. This hawkish shift, reinforced by Chair Warsh’s emphasis on containing persistent price pressures, has aligned trader consensus with a higher-for-longer policy path. A material economic slowdown or faster-than-expected disinflation could still reopen the door to cuts, though such outcomes remain outside the current base case priced by markets.
Polymarket डेटा का संदर्भ देने वाला प्रयोगात्मक AI-जनरेटेड सारांश। यह ट्रेडिंग सलाह नहीं है और इस बाज़ार के समाधान में कोई भूमिका नहीं निभाता। · अपडेट किया गयाFederal Reserve raises interest rate paid on reserve balances to 3.90%
0 (0 bps) surges to 96%17%
On September 16, the Fed raised the interest rate paid on reserve balances to 3.90%, effective September 17, and directed open market operations to maintain the federal funds rate in a target range of 3.75% to 4%. This tightening move indicated no imminent rate cuts, pushing market odds towards zero cuts in 2026.
Federal Reserve raises federal funds rate by 25 basis points to 3.75-4%
0 (0 bps) jumps to 96%7%
The FOMC unanimously voted to increase the target range for the federal funds rate by 25 basis points, marking a tightening of monetary policy rather than any rate cuts. This confirmed that no rate cuts occurred in 2026, solidifying the market's resolution at zero cuts.




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