With 100% chance of at least a 25bps hike (and 10% chance of 50bps), this was perhaps the most 'priced in' of any Fed meeting ever. Of course, it is not whether the Fed hikes or not at a given meeting that matters, but rather what kind of overall hiking cycle it communicates, and so attention is focused on changes to the 'dot-plot'. No surprise here: FED RAISES RATES BY 25 BPS, REPEATS GRADUAL POLICY PATH PLAN, but the forecast is more hawkish: FED OFFICIALS SEE THREE 2017 RATE HIKES VS TWO IN SEPT. DOTS. Of course now all eyes will be on Donald Trump's Twitter account for any response.

*  *  *

December meeting rate expectqation are now:

*FED MEDIAN EST. FOR LONGER-RUN FUNDS RATE 3% VS 2.9% IN SEPT.

*FED: MEDIAN FEDERAL FUNDS EST. 2.1% END-2018 VS 1.9% IN SEPT.

*FED: MEDIAN FEDERAL FUNDS EST. 2.9% END-2019 VS 2.6% IN SEPT.

As a reminder, these were September's Fed estimates for rate trajectory:

1.125% median for 2017

1.875% median for 2018

2.625% median for 2019