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Back To 50/50 For March Cut, Only Modest Trimming Of 2024 Cuts

STIR
  • Fed Funds futures are back to showing 12.5bp of cuts for the March FOMC (15bp pre announcement), back to pre-data levels.
  • Further out, rates for June onwards sit 4-5bp higher having already pared some of the initial increase.
  • Cumulative cuts: 12.5bp March, 34bp May, 60bp June and 141bp Dec, the latter still off the 135bp before ADP and ECI kickstarted today’s rally.

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