By Kavita Mistry 
The moment Wall Street has been waiting for months may finally be here. The Federal Reserve is widely expected to resume its rate-cutting cycle at , with traders all but certain that a 25-basis-point cut is coming on Wednesday.
The market has priced in a 94% chance of a quarter-point reduction, as per CME Fedwatch tool. JPMorgan analysts echoed the consensus, pegging a 95% probability of some form of rate cut and an 87.5% chance of the Fed opting for the expected 25-basis-point trim.
“We see a dovish cut as the most likely outcome, producing a positive gain on the day,” Andrew Tyler, JPMorgan’s global head of market intelligence, told Business Insider, citing research from the bank’s chief US economist. S&P 500 contracts are pricing in an 88-basis-point swing on the day of the decision.