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Fed Rates Tumble With GOP Negotiators Leaving Debt Talks

STIR
  • FOMC-dated OIS sliding: June down -4bp since Yellen banking and GOP debt talk headlines first hit, Dec’23 -13bps.
  • Now pricing just +4bp for Jun and a cumulative -49bp for Dec from current levels.
  • Cumulative impact from Yellen first saying more mergers may be necessary and closely followed by GOP debt negotiators saying the White House not being reasonable and had left debt talks.

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