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Before the CPI Release, the probability of the Fed holding interest rates steady in January was 97.3%

BlockBeats News, January 15th, according to CME's "FedWatch" data, before the release of CPI data, the probability of the Fed maintaining interest rates in January was 97.3%, and the probability of a 25 basis point rate cut was 2.7%. The probability of keeping the current rate unchanged until March was 79.8%, with a cumulative 25 basis point rate cut probability of 19.7% and a cumulative 50 basis point rate cut probability of 0.5%.

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Core CPI at 0.2% month-over-month means the Fed stays put, while 0.3% triggers a rate hike.
The current interest rate hike probability is around 50%, with benign inflation data potentially prompting a wait-and-see approach. However, the hawkish stance still introduces uncertainty into the future policy outlook.
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