June Fed rate-cut odds dip below 50pc after strong ISM data
Bond traders priced in less monetary policy easing by the Federal Reserve this year – and briefly set the odds of a first move in June to less than 50 per cent – after a gauge of US manufacturing activity showed expansion for the first time since 2022.
The amount of Fed easing priced into swap contracts for this year dropped to fewer than 65 basis points – less than Fed policymakers themselves have forecast – after ISM manufacturing for March exceeded all estimates in Bloomberg’s survey of economists.
Bloomberg
Subscribe to gift this article
Gift 5 articles to anyone you choose each month when you subscribe.
Subscribe nowAlready a subscriber?
Introducing your Newsfeed
Follow the topics, people and companies that matter to you.
Find out moreRead More
Latest In Debt markets
Fetching latest articles