Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

What’s priced in for the Federal Reserve after CPI

August 14, 2024 at 05:10PM
The market continues to ratchet down bets on the Federal Reserve rapidly easing interest rates.

September Fed fund futures are now priced for a 56% chance of a 25 basis point cut and a 43% chance of a 50 bps cut. That’s a far cry from just last week when market watchers were talking about an emergency 75 bps cut and another 75 bps in September.

Looking further out, year end pricing is for 105 bps and there are 198 bps priced in through the June 2025 meeting.

While stock markets have been recovering, Treasury yields remain pressured with US 2-year yields at 3.95% today, not far from the panic low of 3.845%.

This article was written by Adam Button at www.forexlive.com.

What’s priced in for the Federal Reserve after CPI