off-the-wire

Traders bet Fed won't cut rates until June as inflation fails to cool

Kitco Media
By Reuters
Published:
Updated:
Reuters

Feb 13 (Reuters) - Federal Reserve policymakers will probably wait until June before cutting interest rates, traders bet on Tuesday, after a government report showed consumer inflation ran higher than expected last month. Traders of futures contracts tied to the Fed's policy rate pushed their expectations for an interest-rate cut deeper into the year after the Bureau of Labor Statistics report, which showed the consumer price index rose 3.1% in January from a year earlier, more than the 2.9% economists polled by Reuters had been expecting.

Reporting by Ann Saphir; Editing by Andrew Heavens

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