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FED: FT Article Speculating On 50bp Extends OIS Implied Cut Pricing

FED

The FT has published an article (around 3:30pm ET) along the same lines as the WSJ's, describing the upcoming meeting decision as a "close call" between a 25bp and 50bp cut:

  • "The Federal Reserve faces a close call over whether to cut US interest rates by a larger-than-expected half-point next week or go with a quarter-point move"
  • This seems to have helped extend OIS-implied pricing of a 50bp cut - September's reduction is now seen at a session high 31bp vs 30.5bp pre-FT publication, and vs 26bp prior to the WSJ piece.

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