The Fed's target interest rate level remains unchanged at 5.25% - 5.50% after the most recent FOMC meeting this week. Concerning the future path of interest rates and recent inflation data in the US, Powell stated [these] "haven't really changed the overall story, which is that of inflation moving down gradually on a sometimes bumpy road toward 2%."  Expectations of the first rate cut this year now center around the June 2024 meeting. Stocks rallied this week around optimism that the fed will be successful in orchestrating a soft landing for the US economy, pushing the S&P 500 towards its 20th record level this year.

The Next FOMC Meeting is January 31, 2024 with an 93.3% probability of no rate hike and 6.7% chance of a 25 basis point rate cut, according to CME Group's FedWatch Tool. Treasury yields rose after data showed US companies ramped up hiring in December and jobless claims came in lower than estimates, potentially indicating a slower normalization of rates. Citigroup, Inc. announced yesterday that it is closing its municipal bond division due to concerns with diminished fees. The CEO stated it is "no longer viable given our commitment to increase the firm's overall returns" and intends to completely wind down operations by the end of the first quarter.

The Next FOMC Meeting is January 31, 2024 with an 93.3% probability of no rate hike and 6.7% chance of a 25 basis point rate cut, according to CME Group's FedWatch Tool. Treasury yields rose after data showed US companies ramped up hiring in December and jobless claims came in lower than estimates, potentially indicating a slower normalization of rates. Citigroup, Inc. announced yesterday that it is closing its municipal bond division due to concerns with diminished fees. The CEO stated it is "no longer viable given our commitment to increase the firm's overall returns" and intends to completely wind down operations by the end of the first quarter.

The Next FOMC Meeting is November 1, 2023, with an 99.3% probability of holding steady and 0.7% chance of implementing a 25 basis point rate increase, according to CME Group's FedWatch Tool. The 10-year treasury has flirted with 5% over the past few weeks, which is an important plateau for financial watchers. US Treasury Secretary Janet Yellen stated the increase in longer-term rates is a reflection of a strong US economy, not the expansion of government borrowing. The U.S. Economy grew at a 4.9% pace last quarter, which was the fastest expansion since 2021. That pace was more than double second quarter grown, according to a preliminary estimate released by the federal government.