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One More & Done The Pre-FOMC Narrative

STIR

STIR market messaging has been pretty consistent when it comes to implied Fed pricing, despite the deluge of U.S. data releases ahead of today’s FOMC. One more hike and done is the story that the OIS strip is telling, with 22bp of tightening baked in for today’s meeting, essentially nothing in the way of additional tightening priced for June (assuming the widely expected hike is delivered today). Beyond that, 65-70bp of cuts by the end of the December meeting is currently showing.

  • Our preview of the impending FOMC decision can be found here.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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