CME Data Shows Traders Split Between 50bps and 25bps Rate Cuts

Article is form Jinse
September 18, 2024
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According to Golden Finance, uncertainty surrounding the Federal Reserve's interest rate decision is growing. Data from the CME Group shows that over the past few hours, traders are betting more evenly between a 50 basis point cut (currently around 55% probability) and a 25 basis point cut (with a 45% likelihood). Earlier on Wednesday, a 50 basis point cut was favored by a 2:1 margin, but strong economic data has pushed more support towards the more conservative 25 basis point option. As the chances of a large rate cut decline, US Treasury yields are rising. The yield on the 2-year Treasury note is currently at 3.657%, up from 3.59% at Tuesday's close.

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