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Traders Add Fed Funds Shorts on Risky Bet for July Fed Rate Hike

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2026-07-01 09:42:30
Traders in the fed funds market are increasing short positions on bets the Federal Reserve could begin raising interest rates as soon as July, a move that had previously been seen as unlikely, according to Bloomberg.

The wager risks being upended by a run of upcoming economic data releases that could alter expectations for the Fed’s policy path.
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