Fed Holds the Line: Markets Price in Near-Zero Chance of January Rate Cut🚀🔥
Fresh market pricing now shows an overwhelming 99% probability that the U.S. Federal Reserve will keep interest rates unchanged in January, signaling that policymakers remain cautious despite easing inflation in recent months.
Investors are reading this as a message that the Fed wants clearer evidence of sustained price stability and cooling labor conditions before moving toward cuts. Strong economic data, resilient consumer spending, and steady job growth have all reduced urgency for immediate easing.
For global markets including crypto and risk assets this stance keeps liquidity expectations tight in the short term, supporting a “higher for longer” narrative while pushing traders to focus on upcoming CPI, employment reports, and Fed guidance for clues about when the first cut could actually arrive later in 2026.