🚨 FED WATCH UPDATE — JAN 28 FOMC 🇺🇸📉
This meeting could set the tone for the entire quarter.
Markets are now pricing in a 95% probability that the FED HOLDS rates steady at the January 28 FOMC, per CME FedWatch.
That’s a massive shift from ~70% just one month ago.
What changed?
👉 A strong December jobs report
👉 Economic resilience forcing the Fed to push rate-cut expectations further out
The message is getting clearer — and tougher.
🧠 The Macro Signal Is Loud
This isn’t about a hike or a cut anymore.
It’s about how long the Fed keeps pressure on the system.
📊 What This Means for Markets
🟠 “Higher for longer” is being locked in
🟠 Near-term rate cuts continue to disappear
🟠 Liquidity stays tight, making risk assets more sensitive to headlines
At this stage, forward guidance > the actual decision.
One sentence from Powell can move trillions.
⚠️ Market Impact: What to Watch Closely
The market is trapped between two risks:
🔹 Strong data
Rate cuts delayed even further
Risk assets face pressure
Dollar strength returns
🔹 Weak data
Recession fears spike
Volatility explodes
Markets panic before policy reacts
Either way → volatility is almost guaranteed around Fed communication.
👀 Tickers on Alert
These names are highly reactive to liquidity shifts and sentiment changes:
⚡ $CLO
⚡
$HYPER ⚡ $ZEREBRO
When liquidity is tight, only positioning and timing matter.
🔥 Bottom Line
The Fed isn’t pivoting yet.
The market is slowly accepting it.
This phase isn’t about moonshots — it’s about survival, positioning, and patience.
Watch the language.
Watch the tone.
That’s where the real signal is. 📊⏳
#FED #FOMC
#Markets #Liquidity
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