Fed Rate Hike Odds Rise as Inflation Reassurance Sought

As the Federal Reserve prepares to meet on September 15-16, investors are pricing in about 60% odds of a rate hike according to futures contracts.

The consumer price index report due Friday will determine whether policymakers lift rates next week, with officials emphasizing they need reassurance that underlying inflation is on track to reach the Fed's 2% goal.

Fed officials have signaled they're prepared to raise interest rates if inflation doesn't improve soon, but they may find their main policy tool will do little to restrain some of the forces pushing up prices now.