Fed rate expectations shift toward potential hikes by September – Link

CME FedWatch data shows the probability of the Federal Reserve keeping rates unchanged in July stands at 84.5%, but by September, the probability of cumulative rate increases drops to 36%, with 55.1% probability of a 25 basis point hike. This uncertainty is pressuring money market funds to shift toward ultra-short-term holdings, tightening financial conditions.

Matters because: Shifting rate expectations can tighten financial conditions and keep pressure on risk assets, including crypto.