The Federal Reserve held its benchmark interest rate steady at 3.75%-4% on Wednesday, in line with market expectations.

The vote was 10-2, with Fed Governor Lisa Cook and Cleveland Fed President Beth Hammack in favor of a quarter-point hike.

What's Expected From The Next Fed Meet?

The two dissenting votes have kept hopes of monetary tightening in December alive. The FOMC said that "the accumulation of more information will help the Committee determine the policy stance appropriate to ensure a timely return of inflation to the Committee's 2 percent goal."

CME Group's FedWatch tool's projections show market pricing in a 71.4% likelihood of the Federal Reserve increasing the rate to 4%-4.25% during December's meeting.

The Fed had raised rates by 25 basis points in September, bringing its benchmark range to 3.75%-4%.

Trump had earlier demanded interest rates of 1% or lower, criticizing the September hike.

Here's What Prediction Market Is Saying

The prediction market is now betting on whether the Fed will hike rates in December.

Data from Kalshi, a federally authorized betting platform, shows that over $3 million has been bet on the contract "Fed decision in December?"

Bettors have placed a 71% probability on a "25 bps increase" and a 28% probability that there will be no change in the interest rates.

Disclaimer: Kalshi and MarketDash have an existing data collaboration agreement.

Kevin Warsh Plans Fewer Rate Decisions From 2028

Federal Reserve Chair Kevin Warsh unveiled a plan on Wednesday to overhaul how the central bank meets. He said he expects two strategy meetings and six policy-setting meetings in 2028.

The Fed needs "time and space" for "thinking anew about big questions," Warsh said.