Fed won't raise rates further, futures traders bet

Valartis AG

27/10/2023 13:37

Oct 27 - Futures contracts that settle to the Federal
Reserve's policy rate rose on Friday, reflecting increased
confidence among traders that the U.S. central bank will not
raise borrowing costs any further, after data showed inflation
cooling as expected. 
    Traders are now pricing in about a 25% chance the Fed will
raise its benchmark short-term interest rate by a quarter of a
percent by its meeting in January. Before the inflation report
the probability of a rate hike by then was seen at about 29%.
     

 (Reporting by Ann Saphir; Editing by Christina Fincher)