May Rate Cut Likely: CME FedWatch Shows Elevated Probability

The Federal Reserve’s future actions regarding interest rates are coming into focus as the likelihood of a May rate cut, according to data from CME’s ‘FedWatch’. A 33.3% probability suggests that the Fed could reduce its benchmark interest rate by 25 basis points in this upcoming month. However, with a 66.7% chance rates will remain unchanged, this suggests uncertainty persists around policy shifts.