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MNI PINCH Update: US rate expectations...........>

US
US: MNI PINCH Update: US rate expectations continue to track the equity market
with the recent rebound in stocks corresponding to the market re-pricing the
probability of a Fed rate hike this year. MNI PINCH attributes a 22.4%
probability of a 25bps hike at the December FOMC meeting, having effectively
priced in no change in monetary policy the previous week. The ongoing government
shutdown will act as a ceiling on rate expectations in the near term, while any
sign that the economy is being materially affected would set the stage for a
reversal.
* Please see http://marketnews-m.objects.xtenit.com/MNI_PINCH_Update.pdf

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