Wow! The Probability of an Interest Rate Hike in 2026 Has Soared Over the Past Week.
Federal Open Market Committee (FOMC) rate hikes might best be viewed as a necessary evil for Wall Street.
Wow! The Probability of an Interest Rate Hike in 2026 Has Soared Over the Past Week.
Overview
It's been a headline-making past month for Wall Street. The Dow Jones Industrial Average (DJINDICES: ^DJI), S&P 500 (SNPINDEX: ^GSPC), and Nasdaq Composite (NASDAQINDEX: ^IXIC) all catapulted to new heights, and America's foremost financial institution, the Federal Reserve, got a new boss. Jerome Powell's term as Fed chair ended on May 15, paving the way for Kevin Warsh to take the reins.
But it's also been a history-maker for the U.S. inflation rate, which jumped to a three-year high of 4.2% in May. The debate as to whether the Federal Open Market Committee (FOMC) will raise interest rates is picking up steam, and the probability of a rate hike before the end of 2026 is suddenly soaring!
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Originally published at www.fool.com.
