The Fed raised interest rates 25 basis points this afternoon in a unanimous 12-0 vote, moving the federal funds target range to 3.75%–4.00%. It’s the first rate hike since 2023, with the Fed signaling that another increase could come later this year.

The move comes as markets watch the relationship between Fed Chair Kevin Warsh and the Trump administration, which has advocated for lower borrowing costs. The Fed says persistent inflation remains a concern.

Meanwhile, third-quarter GDP expectations are around 2.4%, pointing to continued economic growth despite the higher-rate environment.

And energy markets remain a major wild card. Reuters reports Saudi Arabia has canceled some September crude shipments to European customers following damage to its East-West pipeline, while crude loadings at the Yanbu port have been halted. Saudi Arabia is now increasing shipments through alternative routes, including transfers off Oman.

For agriculture, the fuel story is getting real—diesel has moved above $6 nationally, while some California stations have hit $9.99 a gallon.

And cattle? Another tough day. The market took another hit as money flow continues to move out of commodities, adding to pressure across the livestock complex.

Fed policy, crude oil, diesel and money flow—plenty of moving pieces for agriculture to watch.

Wednesday Market Wrap Up with Arlan Suderman at StoneX