Predictions on Fed's rate hike in December reach about 73%

Baku. 6 October. REPORT.AZ/ Fed funds futures now indicate about a 73% chance of a December rate hike after Fed Bank of San Francisco President John Williams said moderate growth and his outlook for higher inflation will allow the US Central Bank to raise interest rates.

Report informs referring to the Bloomberg, this figure was 46,7% nearly 3 weeks ago. 

“In the new world of moderate economic growth, banks need to plan for lower rates,” John Williams said.

Philadelphia Fed President Patrick Harker said in interview with CNBC that he supports December rate hike.

Notably, Fed is expected to announce its decision on discount rate at a meeting scheduled on December 12-13.