Fed's Inflation Fight Escalates as Rate Hike Bets Surge and Gas Prices Hit Records

The Federal Reserve is all but certain to raise interest rates for the first time since 2023 this Wednesday, with market odds surging to 87% after hotter-than-expected August inflation data. Core CPI rose 0.29% in August, exceeding forecasts and underscoring the Fed's inflation dilemma.

Trade Routes

• United States: Fed expected to hike 25bp to 3.75%-4.00%, with Deutsche Bank forecasting 75bps of hikes over the next seven months.
• Eurozone: Euro...