Four More Rate Hikes Priced into Markets by 2027

Markets are pricing in four additional Federal Reserve rate increases by June 2027, according to interest-rate futures. This would add one percentage point to the current 3.75%-4% federal funds target range through four quarter-point hikes.

The Federal Open Market Committee raised the target range by 25 basis points on September 16, with a unanimous decision of 12-0. The move reflects market pricing, not a commitment or forecast from the central bank.

Treasury yields also moved higher, reaching 5.11% for the 10-year yield and 5.45% for the 20-year yield on September 23. Meanwhile, Bitcoin fell below $83,000 after recently hitting a local high of $87,500.