If the Fed Hikes Interest Rates in 2026, History Says This Is the Best Move Investors Can Make Now
The market expects the fed funds rate to be higher before this year comes to a close.
Overview
All eyes are on the Federal Reserve, especially with the new chairman, Kevin Warsh, taking over from Jerome Powell in May. Investors have their eyes and ears on the central bank's actions and words. This isn't anything new.
Minutes from the most recent meeting, in June, showed that instead of cuts, an interest rate hike is fully on the table in 2026. Blame the resilient labor market or inflationary pressure from the Middle East conflict. According to the CME Group's CME FedWatch Tool, there's an 81.9% chance that the fed funds rate will be above the current target range after the December meeting.
Details
History says the following is the best move investors can make right now.
Source
Originally published at www.fool.com.