Polymarket shows 96.3% odds of no rate cut next week despite Trump claiming Fed is 'ready' to ease

Bettors on the Polygon-based prediction market Polymarket are assigning a 96.3% probability that the Federal Reserve leaves interest rates unchanged at its July 29–30 meeting, according to the platforms contract covering the decision.

On top of the percentage of bets on “no change,” the platforms dashboard shows 3% betting on a 25‑basis‑point cut, and less than 1% betting on either a larger cut or a hike.

The backdrop

The bets come amid an unusually public dispute between President Donald Trump and Fed Chair Jerome Powell. Trump has argued that the Fed should have started cutting rates. During a July 24 visit to the Feds renovation site, he reiterated his stance and advocated for sharp reductions.

Meanwhile, Powell has continued to say that policy will remain>also imply limited odds of immediate upheaval.

The Polymarket odds on whether Powell will be out as chair by July 31 are trading around 1%, the August 31 version is near 5%, and a longer‑dated market puts the probability of his departure by year-end 2025 at about 17%.

Together, the Polymarket contracts suggest that participants expect no policy change next week and do not anticipate an imminent shake-up in Fed leadership, even as the medium-term probability of Powells exit has edged higher through year-end.

For now, prediction markets align with most public Fed guidance, which is to hold steady, assess the data, and avoid pre‑committing to cuts.