Following the FOMC Statement, Probability of Fed Rate Hike in September Decreases

July 30th, according to CME's "FedWatch": The probability that the Fed will keep interest rates unchanged until September is 36.8%, the probability of a cumulative 25 basis point rate hike is 63.2%, and the probability of a cumulative 50 basis point rate hike is 0% (prior to the Fed's decision, the probabilities were 17.8%, 60.2%, and 22% respectively).

The probability that the Fed will keep interest rates unchanged until October is 26.2%, the probability of a cumulative 25 basis point rate hike is 55.6%, the probability of a cumulative 50 basis point rate hike is 18.2%, and the probability of a cumulative 75 basis point rate hike is 0% (prior to the Fed's decision, the probabilities were 11.9%, 46.1%, 34.7%, and 7.3% respectively).