Traders now currently see a roughly 57% probability of no
move following the May 2-3 meeting, compared to about a 43%
change the day before. They forecast about a 43% change of a 25
basis point rate increase.
The Fed is also seen starting to ease policy as early as
July, cutting its benchmark rate to near 4% by the end of the
year, based on pricing of interest-rate futures.
(Reporting by Lindsay Dunsmuir and Ann Saphir; Editing by
Franklin Paul)
April 4 (Reuters) - The Federal Reserve is seen done
raising interest rates and starting to cut them in the summer,
after a government report on Tuesday showed U.S. job openings in
February dropped to the lowest level in nearly two years.
Prices of fed funds futures after the monthly Job Openings
and Labor Turnover Survey, or JOLTS report, was released
reflected a jump in bets by traders of rates remaining unchanged
in May.
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