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Fed Rate Path Slips Further On Western Alliance Potential Sale

STIR FUTURES
  • Fed-dated OIS implied rates have slipped on the headlines that Western Alliance is mulling options including a potential sale, with the Dec rate down 8bps since the FT story.
  • June pricing falls to 7bps of cuts at 5.01% from 2.5bps prior, with a cumulative 19bp of cuts to July, 39bps to Sep and 89bps to Dec at 4.18% - the latter would be the lowest close since Apr 6.

Since the headlines:

  • PACWEST SHARES HALTED AFTER EXTENDING ROUT TO 52% - bbg
  • WESTERN ALLIANCE RESUMES, EXTENDS SLUMP TO 45%, HALTED AGAIN bbg

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