Jim Cramer Says ‘Interest Rates Can Fall, Too!!’ as October Fed Hike Odds Fall to 21.6% — Here’s What Traders Are Betting On
CNBC host Jim Cramer posted “OMG Interest rates can fall, too!!” on X on Oct. 6. His statement coincides with CME FedWatch Tool data showing a 21.6% probability of a Federal Reserve interest rate hike at the upcoming Oct. 28 meeting. However, futures traders currently price in a 78.4% probability that the central bank will keep its target interest rate unchanged. OMG Interest rates can fall, too!! — Jim Cramer (@jimcramer) October 6, 2026 Impact of September Rate Increase The shift in October probabilities follows the Federal Reserve’s decision on Sept. 16 to raise its benchmark target range by a quarter percentage point to 3.75%—4.00%. The action marked the central bank’s first rate increase since 2023. Federal Reserve officials stated that the move supported a timelier return to its 2% inflation target, following August Personal Consumption Expenditures inflation figures of 3.4%. Higher borrowing costs continue weighing on rate-sensitive corporate shares and fixed-income markets. Home Depot Inc. (NYSE: HD ) shares fell by 6.52% between Sept. 16 and Oct. 1, bringing the retailer’s overall losses to 18.29% since the start of 2026. In the bond market, the 10-year Treasury yield clos
” on X on Oct. 6. 6% probability of a Federal Reserve interest rate hike at the upcoming Oct. 28 meeting.
4% probability that the central bank will keep its target interest rate unchanged. OMG Interest rates can fall, too!! — Jim Cramer (@jimcramer) October 6, 2026 Impact of September Rate Increase The shift in October probabilities follows the Federal Reserve’s decision on Sept. 00%.
The action marked the central bank’s first rate increase since 2023. 4%. Higher borrowing costs continue weighing on rate-sensitive corporate shares and fixed-income markets. Home Depot Inc.
52% between Sept. 16 and Oct. 29% since the start of 2026. 24% on Oct.
16% at the beginning of 2026. ” Read Also: Fed’s New Financial Vulnerability Gauge Flashes Warning at 65th Percentile — Expert Says Risks Are ‘Notable’ But ‘Not Yet Elevated’ Higher Probabilities for December and January Despite the increased likelihood of an October pause, futures pricing indicates elevated expectations for rate hikes later in the cycle. 8% probability of no change. 8%.
0% probability of a rate ease. How Has the Stock Market Performed in 2026? 35% year-to-date. 96% YTD.
On Monday, the SPDR S&P 500 ETF Trust (NYSE: SPY ) and Invesco QQQ Trust ETF (NASDAQ: QQQ ), which track the S&P 500 and Nasdaq-100, respectively, closed higher. 20. 11. 40%.
Read Also: Federal Reserve's New Inflation Data is 'Useless,' Says Otavio Costa: Inside Fed's Pivot To Excuse Lower Rates Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published editors. Image via Shutterstock