• According to the Wall Street Journal, Fed policymakers are considering a 75-basis-point rate hike this week.
• Bond yields alluded to a more aggressive Fed, with the 10-year Treasury yield rising to 3.37 percent, while the 2-year yield, which closely reflects Fed intentions, rose to 3.34 percent.

Markets are beginning to anticipate even faster rate hikes, and (Fed) Federal Reserve officials appear to be considering the prospect as well.

According to a Wall Street Journal article Monday afternoon, central bank policymakers are considering a 75 basis point hike in the Fed’s benchmark funds rate, which banks charge each other for overnight lending. Many consumer goods dependent on adjustable rates, such as mortgages and credit cards, are affected by the rate.

Read More: Jim Cramer warns traders not to invest in digitization stocks: Recession ‘CPI’

In recent days, traders in the fed funds futures market have increased their wagers that the Fed will raise interest rates beyond its regular 25-basis-point hike cycle.

While 50 basis points remain the most expected outcome following the two-day Federal Open Market Committee meeting, which ends Wednesday, bond yields pointed to a more aggressive Federal Reserve.

Read More: Jim Cramer: Fear market that steady rise in oil prices will lead to a recession

The 10-year Treasury yield increased by 21 basis points to 3.37 percent on Monday, while the 2-year yield, which closely reflects Federal Reserve intentions, increased by roughly 30 basis points to 3.34 percent. One basis point equals one-tenth of a percentage point.

The Federal Reserve raises interest rates to dampen demand, which has resulted in inflation levels that are more than 40 years high. Markets expect the central bank to keep raising rates until at least the end of the year in order to bring inflation closer to its objective of 2%.