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BlockBeats News, January 17th, according to CME FedWatch data, due to Trump's hint of nominating someone other than National Economic Council Director Hassett to replace Fed Chair Powell, traders have reduced their expectations of two Fed rate cuts in 2026. By the end of 2026, the probability of no further rate cuts for the whole year is 11.8%, the probability of a total of 25 basis points rate cuts throughout the year is 30.3%, and the probability of a total of 50 basis points rate cuts is 32.1%.

According to Odaily, U.S. Treasury prices fell after Trump hinted at nominating someone other than National Economic Council Director Hassett to succeed Powell, leading traders to scale back expectations for two rate cuts by the U.S. in 2026. The decline in U.S. Treasuries pushed the two-year yield up by as much as 5 basis points to 3.61%, marking the highest level since the Federal Reserve's most recent rate cut in December. After Trump's comments about Hassett, short-term rate contracts reflected a decreased probability of the Federal Reserve making two 25-basis-point rate cuts this year. Meanwhile, the Treasury market continues to be unsettled by employment data released a week ago for December, prompting Wall Street banks that had previously predicted a rate cut at the Fed's next meeting on January 28 to abandon that view. JPMorgan inflation economists predict that despite the leadership transition at the Federal Reserve, there will be no further rate cuts. John Fath, managing partner at BTG Pactual Asset Management USA, stated: "The previous trade was a bet that whoever becomes the next Fed chair would be dovish. That stance has reversed in the past few days." (Golden Ten Data)

ChainCatcher News, according to Golden Ten Data, U.S. Treasury prices fell after Trump hinted that he would nominate someone other than National Economic Council Director Hassett to replace Powell, and traders reduced their expectations for two U.S. rate cuts in 2026. The decline in U.S. Treasury bonds pushed the two-year yield up by as much as 5 basis points to 3.61%, reaching the highest level since the Federal Reserve's most recent rate cut in December. Short-term interest rate contracts reflect a decreased probability of the Federal Reserve implementing two 25-basis-point rate cuts this year.