According to CME "Fed Watch", the probability that the Fed will keep interest rates unchanged this week is 99.5%, and the probability of a 25 basis point cut is 0.5%. The probability of maintaining current interest rates unchanged in March is 71.6%, the probability of a cumulative 25 basis point cut is 28.2%, and the probability of a cumulative 50 basis point cut is 0.1%.
The change in US Treasury leadership could change the department's attitude towards cash held at the Federal Reserve, with strategists warning that the move could affect the US bond market. Bank of America and Wrightson ICAP LLC, among others, said the Treasury could reduce the amount of money held in Fed accounts as the cash balance - the cushion that ensures the US can pay its bills - shrinks. This would allow the government to issue fewer short-term bonds and further...
President Trump: The Federal Reserve is expected to listen to my views on interest rates, and I will consider communicating with Federal Reserve Chairperson Jerome Powell on interest rates.
Although the Federal Reserve's monetary policy statement may not change much, Powell's press conference will set the tone for the coming months
Cleveland Fed President Mark Hammarck dissented at the third Fed meeting, where she only participated in decision-making. She opposed the idea that interest rates had to be cut due to market expectations at the time, and said her objection was supported by Powell and other colleagues. Click to view > >
Barclays is now predicting that the Fed's quantitative tightening will end in September rather than March, citing the absence of any mention of balance sheet reduction in meeting notes issued last month. The Fed's decision to halt balance sheet reduction is likely to depend more on the ratio of reserves to bank assets than on a specific date, Barclays strategist Joseph Abate wrote in a note. Barclays assumes the Fed wants to reduce reserves to about 12 per cent of assets, a threshold that could ...
US economic activity grew at a "moderate to moderate" pace in late November and December, driven by strong holiday sales, the Federal Reserve said in its Beige Book survey of regional business contacts. Employment overall edged up, with half of the 12 Fed jurisdictions reporting hiring increases, the report showed.
According to the CME "Fed Watch", the probability of the Fed keeping interest rates unchanged in January is 97.3%, and the probability of a 25 basis point cut is 2.7%. The probability of maintaining current interest rates unchanged in March is 72.0%, the probability of a cumulative 25 basis point cut is 27.3%, and the probability of a cumulative 50 basis point cut is 0.7%.
After the inflation data, traders in interest rate futures increased their bets on a rate cut by the Federal Reserve in June, raising the possibility of a second cut in 2025. Traders expected the Fed to cut rates by the end of July, compared with September.
Citi said it expects the Reserve Bank of Australia to hold its ground in February and cut interest rates for the first time in May. It is expected to cut interest rates by a total of 75 basis points this year. (Jin Ten)
Franklin Templeton said the Federal Reserve is expected to cut interest rates once or twice in 2025.
The "straw" that supports gold - the Federal Reserve's expectation of interest rate cuts, there is little room left for decline. Will the CPI completely extinguish the hope of interest rate cuts this year? (including US stock scenario deduction) > >
US consumers' expectations about the path of inflation were mixed in December, while concerns about household solvency intensified markedly, according to a survey released on Monday by the New York Fed.
The New York Fed's one-year inflation forecast in December was 3%, compared with 2.97% previously. The expected three-year inflation rate in the United States was 3% in December, compared with 2.6% previously. The expected five-year inflation rate in the United States was 2.7% in December, compared with 2.9% previously.
JPMorgan cut its forecast for the number of Fed rate cuts this year from three to two.