Fed Chair Kevin Warsh said he will not prejudge any decisions that may be made in the future.

Jean Boivin, head of the BlackRock Investment Institute, said in a note that markets may be overreading language from Fed chair Kevin Warsh's post-meeting press conference. He said the Fed's decision to raise rates helps establish the new chair's credibility and that the conference's emphasis on the strength of the U.S. economy was widely interpreted as a hawkish signal. Boivin added that with strong growth, rate hikes are not necessarily bad for risk assets and that defending Fed credibility should be distinguished from starting a sustained tightening cycle.

Macquarie expects the Federal Reserve to raise rates by a further 50 bps, with 25 bps in December and 25 bps in Q1 2027.