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$-Bloc Near-Term Tightening Expectations Have Been Steady Over Past Week

STIR

Although expectations for a tightening at the September 20 FOMC meeting have stayed relatively muted in the past week, November has witnessed a notable 10% increase in such expectations. The Fed is now in its policy blackout period ahead of the FOMC meeting next week. The chances of a 25bp hike at the next policy meeting across the $-bloc sit at:

  • 5% for Sep 20 (FOMC);
  • 31% for Oct 25 (BoC);
  • 10% for Oct 3 (RBA); and
  • 13% for Oct 4 (RBNZ).

Figure 1: $-Bloc STIR



Source: MNI – Market News / Bloomberg

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