Markets Are Betting The Fed Will Cut Rates Like It's A Recession

Financial market participants are betting the Fed will cut its benchmark interest rate by 1.75 percentage points by next September according to the CME Group's FedWatch tool. Historically, the Fed has only cut that fast if there's a recession. (To see a specific data point, tap or hover over that area of the chart.)

Shaded areas indicate recessions
Chart: Investopedia / Diccon Hyatt Source: Federal Reserve Economic Data and CME Group
Investopedia