Fed watchers eye September as tension builds around central bank cuts

The Federal Open Market Committee’s meeting on June 18 indicates stability in interest rates, with only a 0.1% chance for a quarter-point cut in the immediate future.

Looking ahead, traders forecast a greater likelihood of a 25 basis point cut in September 2025, with a 57.6% probability according to CME Fedwatch.

Current trading reflects $1.48 million, showing that traders expect no rate changes in September, maintaining a significant focus on Fed Chair Jerome Powell’s position in the coming months.

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