Traders keep bets on no Fed rate hikes in 2019

Send a link to a friend  Share

[January 04, 2019]   (Reuters) - U.S. short-term interest-rate futures fell on Friday as a government report showed job creation surged in December, but the move was not big enough to reflect a change to the expectation that the Federal Reserve will not deliver a single rate hike this year.

 

Traders of contracts tied to the Fed's policy rate continued to price in no chance of a 2019 Fed rate hike, and a rate cut by early next year. Fed officials themselves have signaled they expect two rate hikes this year.

(Reporting by Ann Saphir, Editing by Franklin Paul)

[© 2019 Thomson Reuters. All rights reserved.]

Copyright 2019 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.  Thompson Reuters is solely responsible for this content.

 

Back to top