Polymarket launches Federal Reserve's 2026 rate hike forecast, Bank of America raises rate hike expectations

Polymarket launches forecast event for the number of interest rate hikes by the Federal Reserve in 2026. BofA Global Research predicts that the Federal Reserve will raise interest rates by 25 basis points in September, October, and December 2026, with a cumulative increase of 75 basis points for the year. This will push the target range for federal funds to 4.25% -4.50%, mainly based on the resilience of the US labor market, the process of inflation decline, and the policy response under the leadership of Federal Reserve Chairman Kevin Walsh. Deutsche Bank expects the Federal Reserve to start raising interest rates in September, with a cumulative increase of 50 basis points for the year.