US Fed Deputy Chairs Sharply Cut the Odds of an October Rate Hike

According to Donya-e-Eqtesad, citing Bloomberg, Fed Vice Chair Philip Jefferson and New York Fed President John Williams said in separate speeches last week, on Tuesday September 29 and Thursday October 1, 2026, that the US central bank has enough time to assess the economy before considering another rate hike. Based on fed funds futures pricing, the odds of a hike at the Fed's October 27 to 28 meeting fell from around 70 percent before the speeches to about 25 percent afterward. The remarks follow the Fed's quarter point rate hike on September 16, its first since 2023, and come ahead of the US consumer inflation report due October 14.