Fed FOMC Meeting: Trump Pushes for Rate Cuts, but Markets Expect Steady Rates

The Federal Reserve's highly anticipated FOMC meeting is set to take place on Wednesday afternoon. President Donald Trump has been urging the Fed to cut interest rates, stating 'rates should be lowered' in a recent interview with Reuters. However, only 5% of Benzinga viewers surveyed expect a rate cut.

According to the survey, 80% of respondents believe that the Fed will keep rates steady, while 12% think there will be a 25 basis point hike and 3% expect a 50 basis point increase. This follows the current estimate from the CME Group Fed Watch Tool, where 66.3% expect no change and 33.7% see a hike.

The prediction market Kalshi shows a slightly different picture, with users betting more on a rate hike than Benzinga viewers. The odds are currently at 74% for maintaining rates, 27% for a 25 basis point hike, and less than 1% for a rate cut.