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FOMC-Dated OIS Flashes Full Hike For July, 50/50 Chance OF A Hike In June

STIR

Data- and debt ceiling-related gyrations briefly saw a cumulative 25bp of hikes baked into the FOMC-dates OIS strip covering the July meeting. That has nudged off of extremes to leave 24bp priced as of typing.

  • Further forward, ~12.5bp of tightening is priced in for June, denoting a 50/50 chance of a 25bp hike at next month’s gathering.
  • ~38bp of cuts are priced by year-end vs. current terminal rate pricing.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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