The Powell Pause No More: What's Behind the Fed's Sudden Hike Bets The Federal Reserve's decision to hike interest rates is no longer a distant possibility, but a very real probability.
Last week's inflation data has flipped Wall Street's script, with core consumer prices rising 0. 3% above expectations and the headline CPI climbing 0. 4%.
This news has sent traders scrambling to adjust their bets, with the probability of a quarter point Fed hike next week now at roughly 85%. The sudden shift in inflation data from benign to concerning is striking.