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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.
Free AccessEvans Builds On Fedspeak Above Market Terminal Rate
- Chicago Fed’s Evans (’23 voter but retiring in early 23) notes that a 50bp hike in Sept is a reasonable assessment but equally a 75bp “could also be okay”, hopeful that 25bp hikes after Sep still reasonable to get a 3.25-3.5% funds rate by year-end whilst seeing a 3.75-4% Funds rate by 2Q23 as sufficiently high.
- That compares with current market pricing for a 58bp hike in Sept, a cumulative 102bps to an implied 3.35% at the Dec FOMC with a peak of 3.38% in Feb'23 before 50bp of cuts thereafter through 2023 (having unwound from closer to 60bps of cuts from early this morning).
- Fedspeak attention next turns to '22 voters with Mester (1300ET) and Bullard (1845ET).
To read the full story
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.