Fed hikes, hints at more: 7 takeaways from the September FOMC
From the original
A new hiking cycle, alongside an upward revision to the Fed's longer run neutral rate estimate, points to a higher for longer rate environment than markets had been pricing coming into the meeting. The unanimous vote and the median dot's call for at least one more 2026 hike leave
Related speeches
4 itemsGoldman ditches one and done call, now sees a second Fed hike in October
The recent shift by Goldman Sachs to anticipate a second Federal Reserve rate hike as soon as October, abandoning their previous 'one and done' forecast, signals a more hawkish tone across the marketplace. Per the full note from InvestingLive, their expectations follow a more aggressive outlook from Wednesday's FOMC meeting, highlighted by a 16-2 dot plot supporting further hikes and an upward adjustment of the median neutral rate path to 3.25%. This recalibration suggests that other desks may also revise their timelines, enhancing support for both short-end yields and the U.S. dollar as markets price in a higher for longer scenario heading into the midterms. Furthermore, this creates a live meeting risk during a politically sensitive period, challenging previous assumptions about the Fed's timing strategy amidst the elections.
FOMC rate decision: Fed hikes for the first time in three years
More like this
5 itemsFed's Collins pencils in second hike this year, then expects rates on hold in 2027
Economic and event calendar in Asia Tuesday, September 22, 2026 - RBA Governor Bullock speaking
St. Louis Fed’s Musalem: Interest rates likely need to rise further to tame inflation
BOC’s Macklem: It could take some time for higher fuel margins to normalise