[Deutsche Bank Expects Fed to Raise Rates by 25 Basis Points in Both September and December] Jin10 News, August 29 – Deutsche Bank economists predict that the Federal Reserve will raise interest rates by 25 basis points in both September and December. Fed Chair Powell emphasized in his speech at Jackson Hole the need to bring inflation back to the 2% target and sent a clear hawkish signal. Deutsche Bank believes that unless future economic data is 'significantly weaker than expected,' the threshold to avoid a 25-basis-point rate hike in September is already very high. The market has also quickly raised its rate hike bets: CME data shows that the probability of a cumulative 50-basis-point or greater rate hike by December has risen to 51%, up from just 29% the previous day; the probability of a cumulative 25-basis-point hike is 38%, while the probability of no rate hike at all is only 11%. Following Powell's speech, market bets on a September rate hike have also significantly heated up.