U.S. Stock Futures Flat Ahead of Fed Rate Decision
U.S. stock futures remained nearly unchanged ahead of the Federal Reserve's pivotal interest rate decision, with markets pricing in a likely quarter-point hike on Wednesday. The CME FedWatch tool showed an 92% probability for a 0.25 percentage point increase at this week’s meeting and significant chances for further hikes in October and December. The White House has urged the Fed to hold rates steady, with Council of Economic Advisers chairman Christopher Phelan calling any rate hike a 'mistake.' Recent inflation data showed some cooling, but core CPI rose more than expected. Crude oil prices climbed due to supply concerns from Saudi Arabia, while Treasury yields hit multi-year highs amid expectations for higher economic prices. On Tuesday, U.S. stocks fell as investors reacted to rising oil and bond yields. Technology stocks were particularly affected by discussions among AI company leaders about slowing product releases.
Topics: CPI data Federal Reserve interest rates oil prices stock market