Group 1 - Traders in interest rate futures have increased the odds of a Fed interest rate cut to 89% from 83.4% for the upcoming meeting [3] - The current federal funds rate is in the range of 3.75% to 4% [3] - Some Fed officials have indicated a need for a third consecutive reduction in borrowing costs due to a dimming employment outlook [3][4] Group 2 - Other central bankers have expressed concerns about inflation remaining above the Fed's 2% target and prefer to keep rates steady to prevent price pressures [4] - The Beige Book report from the 12 Fed district banks noted a slight decline in employment, with half of the districts reporting weaker labor demand [5] - The ADP employment report for November highlighted a payroll cut of 32,000 jobs, with small employers (fewer than 50 workers) shedding 120,000 jobs while larger firms added 90,000 jobs [7] Group 3 - Pay for employees who remained with their employer rose by 4.4%, while those who changed jobs saw a 6.3% increase in pay [7] - The Bureau of Labor Statistics has delayed the publication of the November job report to December 16, which is after the policymakers' meeting [6]

The U.S. central bank, as widely expected, cut the federal funds rate by 0.25% Wednesday, amid recent signs that the economy was faltering and needed a boost—and under relentless pressure from President Donald Trump. Bitcoin and other major digital assets traded largely flat  in the immediate aftermath. The largest cryptocurrency by market capitalization was recently changing hands just above $116,000, up 0.2% over the past hour hours, according to crypto markets data provider CoinGecko. BTC rallied in re ...