Recent economic indicators, including sticky core inflation readings and resilient labor market data through September 2026, have anchored trader expectations for the January 2027 FOMC decision, with no change at 65.5% and a 25 basis point hike at 31.5% reflecting the market-implied rate path. Stronger-than-expected growth metrics have tempered bets on easing, aligning with the Fed’s emphasis on data dependence amid Treasury yields hovering near multi-month highs. Key upcoming catalysts include the December FOMC meeting, October CPI release, and employment reports that could shift the balance if inflation moderates faster than anticipated or if downside risks to growth emerge.