
FEDFUNDS Market Brief
The Federal Reserve's benchmark federal funds rate remains stable at 3.50%-3.75%, with the effective rate at 3.62% as of June 10, 2026.
Federal Reserve, ECB, BoJ. Inflation, employment, geopolitics, and trade. The big picture above asset classes.

The Federal Reserve's benchmark federal funds rate remains stable at 3.50%-3.75%, with the effective rate at 3.62% as of June 10, 2026.

U.S. annual inflation for May 2026 surged to 4.2%, marking the third consecutive month of acceleration and pushing market expectations away from rate cuts

The May Consumer Price Index (CPI) report, released on June 10, 2026, revealed headline inflation surged to 4.2% year-over-year, its highest level since May

U.S. consumer inflation surged to 4.2% year-over-year in May 2026, marking the highest annual reading since April 2023.

Annual inflation hit 4.2% on June 10, 2026, the highest since 2023, alongside a robust May jobs report, causing markets to shift Federal Reserve rate

The Consumer Price Index (CPI) for May 2026 surged 0.5% month-over-month and 4.2% year-over-year, marking the highest annual rate since April 2023, primarily

Market expectations for Federal Reserve policy have dramatically shifted, with futures now pricing a 43% chance of a quarter-point rate hike by December 2026.

U.S. annual inflation accelerated to 4.2% in May 2026, its highest level since April 2023, primarily fueled by a significant jump in energy prices.

The May 2026 Consumer Price Index (CPI) report, released on June 10, 2026, revealed headline inflation accelerating to a three-year high of 4.2% year-over-year.

The May employment report, released on June 5, 2026, significantly exceeded expectations by adding 172,000 nonfarm jobs, propelling the 10-year Treasury yield

The U.S. economy added 172,000 nonfarm jobs in May, significantly exceeding expectations and causing a sharp repricing in Federal Reserve rate expectations.

CME FedWatch Tool shows 63% probability of a 25 basis-point Fed rate hike by October 2026 as of June 9, 2026.
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