Excerpt from: Bonds and Interest Rates CFDs and Spread Bets
|
 |
| September 17, 2007 | | Spread betting and contracts for differences on U.S. interest rates | Spread bets and CFDs on the expected U.S. rate cut tomorrow have a couple of options. Analysts are torn between believing that the Federal Reserve will cut rates by 25 basis points, or that the Fed will make a larger cut -- perhaps as big as 50 basis. Spread betting on U.S. interest rates should carefully consider this. Reuters reports on U.S. rate cut news:
"Looking at (market) pricing, it seems to be almost
completely even, 50-50, between a 25 basis points cut or a
larger cut," said Johan Javeus, FX strategist at SEB in
Stockholm.
"I think it's likely that most markets will be in
wait-and-see mode right now unless, of course, we see any more
disturbing news from the corporate sector..."
| | |
|
|
