Fed Watch: 93.1% Chance of Unchanged Interest Rates in January Ahead of Non-Farm Payroll Data

Ahead of the release of December’s non-farm payroll data, the CME Group’s "Fed Watch" tool indicates a 93.1% probability that the Federal Reserve will maintain its current interest rate at the January meeting. The likelihood of a 25 basis point rate cut stands at just 6.9%.Interest Rate Projections for MarchProjections for March paint a more dynamic picture:Unchanged Rate: 59.6% probability.Cumulative 25 Basis Point Cut: 37.9% probability.Cumulative 50 Basis Point Cut: 2.5% probability.Market Sentiment Ahead of Key DataThe December employment report, expected today, will significantly influence market sentiment and Fed policy decisions. Analysts are closely watching these developments to gauge potential monetary policy shifts in the coming months.