Fed funds futures contracts are now pricing in a 51% probability of a Fed rate increase by year-end and 71% by March, driven by a 3.8% annual surge in consumer prices and a 1.4% monthly jump in the producer price index. CME Group’s FedWatch tool, based on 30-day federal funds futures, could see increased trading volumes and data licensing demand as market participants adjust to higher rate expectations under new leadership.

CME Group and the New York Stock Exchange’s parent are actively urging U.S. regulators to tighten oversight of Hyperliquid, a blockchain-based derivatives platform offering 24/7 trading and leveraged perpetual contracts. Concerns focus on potential market manipulation, wash trading and sanctions exposure due to Hyperliquid’s permissionless structure and internal liquidity provider model, which threatens the neutrality and counterparty risk profile of traditional exchanges.