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Circa 50/50 Odds Of Fed Hike In May, Kashkari Still To Come

STIR FUTURES
  • Fed Funds still holding with a ~12bp hike priced for the May FOMC (from eff 4.83%), where it’s been most of the session after increasing early on. It follows prepared remarks from Barkin (’24 voter) and Collins (non-voter).
  • Both alluded to tighter credit conditions but Collins supported a further hike whilst Barkin still saw reasons why it could take time for inflation to return to target.
  • Kashkari (’23) begins a moderated town hall in 5mins.

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