Fed rate hike odds shift to 50% by end of 2026 as oil prices surge

Market expectations have shifted dramatically. Just months ago, traders priced in as many as four rate cuts for this year. Now, futures markets reflect a 50% probability of a Fed rate hike by the end of 2026. The shift reflects rising inflation concerns as oil prices surge past $100 per barrel, with gasoline prices up nearly 50%. These commodity pressures could limit the Fed’s ability to cut rates and may keep cryptocurrency markets volatile as investors reassess risk assets and real yields.

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

More posts