What the Federal Reserve Federal Reserve Calculation means the stock market

Wall Street is very confident that the stock market will get a batch of lower prices on Wednesday.

Traders expect the S&P 500 to move about 0.6 % in either direction today, according to options pricing data. This will be the largest movement in the S&P 500 after relief since March, when the standard index is 1.1 % ended After politicians left the interest rate expectations throughout the year despite the increase in economic uncertainty.

The federal reserve is expected to reduce prices for the first time this year, as futures trading data has put in place 25. Foundation Cut around 94 % on Wednesday morning. Traders see a 6 % chance in federal reserve rates that reduce 50 basis points, the same amount that started the chip for last year in September.

The difference between cutting 25 and 50 points can be important for markets. According to the Deutsche Bank surveyed between 9 and 11 September, the respondents expect the S&P 500 to 1 % in the case of a 50 -point reduction, compared to about 0.4 % on one smaller. “Risk”-residents who are known as managers or merchants-a 1.3 % rally on jumbo pieces.

The stocks were In standard levels With this week’s meeting, supported by expecting low borrowing costs, flexible companies’ profits, and enthusiasm for artificial intelligence. The main indexes were mixed in trading during the day on Wednesday, with the rise of DOW as the S&P 500 and NASDAQ technology was trading. (He follows Investopedia’s Cover live markets here))

Wednesday’s price decision will be announced, along with the summary of the Federal Open Market Committee for economic expectations, as politicians have put their near and long -term expectations for inflation, unemployment and interest rates. in September latest From June, the expected Federal Reserve Points expectations are expected three times by the end of next year, with two discounts expected in 2025.

On Wednesday, Sep will include expectations from White House Economic Adviser Stephen Miran, who The Senate confirmed As a temporary member of the FOMC voting earlier this week. Since his return to the White House, President Trump has surveyed the federal reserve to reduce interest rates, and in recent months he has taken unprecedented steps for the central bank’s influence, including an attempt to shoot the ruler Lisa Cook. Miran is expected to be pressed for the president’s pieces.

There are other ways to play with the federal reserve today. In the predictions of the Polymarket Market, users can bet on the number of times the Federal Reserve Chairman Jerome Powell will say “inflation”, “unemployment” or “recession” during his press conference on Wednesday afternoon. Stock and bond markets often move where investors evaluate the language and tone of Powell.

Polymarket users can also bet on the number of FOMC members of 12 people who will oppose Wednesday’s decision. Two policy makers – appointed from Christopher, Wald and Michel Buman, both of them are the senior candidates to replace Powell as president next year – at the Federal Reserve Fixed fixed rates At its last meeting in July, but either publicly called for a reduction of 50 points this month.

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