Bond traders are calling Fed’s March rate hike bluff - BBG
|Bloomberg out with a piece on Monday, highlighting that traders see slightly more than a one-in-three chance the Federal Reserve (Fed) raises rates. That’s well short of the 50% minimum that has predicated every rate hike in the past quarter-century, according to data compiled by Bianco Research.
Jim Bianco of Bianco Research noted, “The market recognizes it has a veto over the Fed. It might be too late at that point for them to do anything, even if we get eye-popping numbers.”
Currently, the odds are decidedly against an increase in March. Futures traders are pricing in just a 40% probability for a rate lift-off at March meeting.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.