Fidelis Capital sees reduced Fed transparency raising market volatility risk
TLT•Fidelis Capital warned that reduced Federal Reserve transparency could increase market volatility while further rate hikes remain possible. The Fed held rates at 3.75% to 4% in a 10-2 vote, and CME FedWatch showed a 72% probability of a 25-basis-point increase in December.
1. Fed policy outlook
Fidelis Capital warned that reduced Federal Reserve transparency could increase market volatility as further interest rate hikes remain possible. The Fed held rates at 3.75% to 4% at its October 27-28 meeting in a 10-2 vote.
2. Meeting schedule
CME FedWatch indicated a 72% probability of a 25-basis-point rate increase at the December 8-9 meeting. Voting meetings will fall to seven in 2027 and six in 2028; non-voting meetings will have no policy statements.
