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21bp Of Fed Cuts For March, 140bp For 2024

STIR
  • With Chair Powell’s press conference wrapped up, Fed Funds implied rates show still low expectations of a cut in January (3bps) but March odds have built further to a cumulative 21bps.
  • There are now more than 2.5 cuts priced for June (66bp vs 59bp pre Powell, 47bp pre SEP), building to 140bp of cuts for 2024 (132bp pre Powell, 116bp pre SEP) – see table.

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