Analyst: Fed Rate Cut Expectations for September Cool Down, but Markets Still Seem to Be Waiting for a Signal

According to ChainCatcher, market analysts have noted that, frankly, the current decline in U.S. stocks is surprisingly modest, with the S&P 500 currently down just 0.4%. Yesterday, the market placed a 68% probability on a Fed rate cut in September, but that likelihood has now sharply dropped to only 45%. Despite such a significant shift in policy expectations, the market has not seen a more pronounced sell-off, reflecting the resilience of investor sentiment, or perhaps investors are still waiting for further confirmation signals.