Fed set to hike rates for first time since 2023 amid conflict with Trump
- —The market puts the probability of a 25 bps rate hike at 85–90%
- —August inflation was 3.4% year-on-year, core CPI rose 0.3% month-on-month
- —At the July meeting, three Fed members voted for an immediate hike
- —Trump is demanding the rate be cut to 1% and threatening trade restrictions
Why it matters: A rate hike could increase pressure on risk assets, including cryptocurrencies, and shift monetary policy expectations.
Source: Crypto Briefing