CME Group FedWatch's odds of June hike fell to 64.6%
As the political turmoil in the U.S. continues to harm the market sentiment, the yields on the safe haven U.S. Treasuries decline, weakening the expectations of a rate hike in June.
CME Group FedWatch tool, which calculates unconditional probabilities of Federal Open Market Committee (FOMC) meeting outcomes to generate a binary probability tree, on Wednesday shows that the chances of a rate hike in June fell to 64.6%. Just a week ago on May 7, the probability was seen at 87.7%.
In the meantime, the US Dollar Index is at 97.45, down 0.66% on the day.
Political headlines from the U.S.
- U.S. Senate Committee inquired WH to provide transcripts, memos and recordings of Trump-Obama conversations with Comey
- U.S. Senate Intelligence Committee requested James Comey to appear in both open and closed sessions
- US Rep. Adam Schiff: Impeachment cannot be perceived as an effort to nullify the election by other means
- US House Speaker Ryan: Need the facts on Comey & Russia reporting - LiveSquawk
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
