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Collins Doesn't Move The Needle, Just Half A Cut Priced To Year-End

STIR
  • Not much further reaction to Fed rate expectations on Collins' (non-voter) first comments since mid-Jan, including seeing holding rates at a sufficiently restrictive for “perhaps extended” time.
  • Continually fluctuating at higher levels post-PCE, the terminal sits at 5.40%, tied in both Jul and Sep, with now just 12bps of cut to year-end (vs 18bps yday close).

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