"Market Expects 144 bps Rate Cuts as Fed Bridges Gap and Powell Pivots for a Happy New Year"
TL;DR Summary
The Fed funds futures market is now pricing in 144 basis points of rate cuts for next year, up from the previous estimate of 107 basis points. The lack of pushback from Fed officials and a similar dot plot have reinforced market expectations of rate cuts. As a result, the market will continue to price in cuts, as seen in the surge of US 2-year yields.
Topics:business#fed-funds-futures#finance#interest-rates#market-expectations#rate-cuts#us-2-year-yields
- The Fed funds futures market is now pricing in 144 bps in cuts next year ForexLive
- Fed bridged gap in meeting market expectations with rate decision, says Citi's Kristen Bitterly CNBC
- Huge Rally as Dots Deliver and Powell Stays Out of The Way Mortgage News Daily
- Powell Pivots on Rates Toward a Happy New Year Bloomberg
Reading Insights
Total Reads
0
Unique Readers
0
Time Saved
0 min
vs 1 min read
Condensed
28%
92 → 66 words
Want the full story? Read the original article
Read on ForexLive