Traders and prediction markets are largely anticipating a 25-basis-point interest rate cut by the U.S. Federal Reserve at its upcoming meeting on October 29. According to the CME Fedwatch tool, there is an 87.7% probability that the rate will be reduced to a range of 3.75%-4.00%. Additionally, platforms like Polymarket and Kalshi also reflect over 80% odds for this outcome. While a larger cut or a rate hike is considered unlikely, market participants are expected to focus on the Fed's forward guidance for future rate decisions.