The likelihood of a U.S. Federal Reserve rate cut in December has decreased to 44.4%, according to the CME Group’s FedWatch Tool. This shift reflects market expectations that the Fed will maintain current rates longer due to strong labor data and ongoing inflation concerns. The reduced probability of a rate cut may delay potential gains in the crypto market, which typically benefits from lower interest rates. Traders are adjusting their portfolios accordingly, with implications for risk assets such as Bitcoin and Ethereum.
Probability of December Fed Rate Cut Falls to 44.4%
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