U.S. short-term interest rate futures fell after the Federal Reserve cut rates as traders bet on further rate cuts.
Bond traders are bracing for further falls in US Treasury yields, even as the yield on the 30-year note fell to a six-month low on Tuesday. Data show that the cost of options bets to protect against sharp falls in yields is rising rapidly. With the US government shutdown set to become the second longest on record, coupled with renewed concerns about credit markets and rising trade tensions, traders are flooding into quality safe haven assets. The rally in the US Treasury market is driving the ov...
On Polymarket, as well as other prediction markets, traders are increasingly betting that the US government shutdown will last until the end of October or longer. According to the implied probability of trading prices on Polymarket, there is currently a 37% chance that the US government shutdown will last more than 30 days, up from 15% when the shutdown began on October 1. The longest government shutdown in US history occurred during Trump's first term, lasting 34 days from December 2018 to Janu...
Less than ten days before the Federal Reserve's September interest rate meeting, current market traders are betting that the Federal Reserve will cut interest rates in September with a high probability, and the probability of rate cuts in October will increase simultaneously. According to CME "Fed Watch" data, the probability that the Federal Reserve will not cut interest rates in September is 0, and the probability of a 25 basis point cut is 90%. This probability is reported in Polymarket 87%. ...
Traders are pouring into a particular option bet that the Federal Reserve will slash interest rates by more than 25 basis points next month. Since the beginning of this month, there has been strong demand for positions related to the overnight guaranteed funding rate (SOFR), which is closely tied to policy expectations. This week, traders are up the ante again, targeting an uncut of 50 basis points for positions squaring...
Traders are betting that the Federal Reserve will wait until June to start cutting interest rates.
Traders are betting that the Federal Reserve will wait until June to start cutting interest rates.
Futures markets are betting the Fed won t cut rates at its policy meeting next week, but if fears of a trade war-induced recession come true, the Fed could initiate a series of rapid rate cuts in June. Last weekend, US President Donald Trump made a speech on the economy.
Traders are betting that the Federal Reserve will cut interest rates quickly in the event of an economic downturn. More and more people in the futures market are expecting consecutive rate cuts in June, July and October. Federal Reserve officials face the dilemma of rising inflation and a weakening economy. Click to view...
U.S. short-term interest rate futures rose as traders bet on the increased likelihood of a rate cut by the Federal Reserve.