Rate hike odds just got cut in half.
After today's CPI print came in at 3.4%, the market now sees only a 34% chance of a September hike. That's the lowest probability since mid-July and down from nearly 70% just two weeks ago.
Inflation cooling = Fed pressure easing. The pivot narrative is back on the table.
If you're watching the $SPY or rate-sensitive sectors like tech and real estate, this shift matters. Lower rate expectations usually mean higher multiples and risk-on behavior.
Keep an eye on the next few data points. One print doesn't make a trend, but the market's already pricing in relief.
After today's CPI print came in at 3.4%, the market now sees only a 34% chance of a September hike. That's the lowest probability since mid-July and down from nearly 70% just two weeks ago.
Inflation cooling = Fed pressure easing. The pivot narrative is back on the table.
If you're watching the $SPY or rate-sensitive sectors like tech and real estate, this shift matters. Lower rate expectations usually mean higher multiples and risk-on behavior.
Keep an eye on the next few data points. One print doesn't make a trend, but the market's already pricing in relief.