Barclays Stock Climbs on Shift in Rate Call

Barclays stock is gaining traction after the bank shifted its rate call, now expecting two 25 basis point Federal Reserve hikes in 2026. This change comes as the September hike probability rose to 61.9 percent from 41.4 percent a week earlier.

The shift in rate path itself is what matters most for investors. Barclays moved from zero hikes to two hikes, with the September hike probability increasing by 20.5 percentage points.

This change could reshape net interest income expectations and has implications for earnings assumptions tied to interest-rate sensitivity. The market is reacting to the rates view rather than the company's latest quarterly figures.