London (CNN Business)Just about everyone predicted the Federal Reserve would cut interest rates on Wednesday. But the market is no longer sure.
According to the CME’s FedWatch Tool, which measures what the markets are predicting the Fed will do next, the probability of a quarter percentage point rate cut is only 56%, down from 92% just over a week ago.
Translation: Investors are split on whether the Fed will cut rates.
An even more dramatic half percentage point cut, which was forecast by some this summer, is no longer even considered an option.
The context: This drastic change of heart comes after several turbulent days.
Since its inception, The National Digest has been dedicated to providing authoritative and thought-provoking insights into trending topics and the latest happenings.