The probability of a December rate hike is nearing 80%! Is the Fed really going to act this time?

The Fed’s December policy meeting is still ahead, but markets are already getting nervous.
Recent strength in U.S. employment, along with September CPI rising 3.7% year over year, has once again put inflation in the spotlight.
Current market pricing shows the probability of a 25-basis-point rate hike in December nearing 80%.
This means markets are preparing for further tightening.
The October CPI report, due on November 10, will be an important reference point for gauging the Fed’s next move.
If core inflation remains hot, bets on a rate hike could rise further; if inflation cools significantly, markets may revise their expectations.
But keep in mind, the Fed doesn’t look at just one CPI report. Employment, consumer spending, wage growth, and inflation expectations will all affect its final decision.
What’s more interesting is that markets are sometimes more impatient than the Fed.
Before the data is even released, investors are already trading various scenarios. #每周来晒 and #U.S. October CPI is about to be released
Will December bring a rate hike, a pause, or a policy pivot? Tonight’s CPI could offer an important clue. $AMD