Excerpt from: Futures and Commodity News
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| March 27, 2008 | | April rate cut of 25 basis points already priced in | In futures trading, there are a variety of markets and financial instruments to choose from. One of those is Fed fund futures.
Right now, Fed fund futures have priced in a 25 basis point cut in April. And there is a chance of an even larger Fed rate cut. Reuters reports on US interest rate futures:
U.S. short-term interest rate futures now indicate investors
see around a 40 percent chance of the Fed cutting interest rates
by 50 basis points in April. A 25-basis-point rate cut is fully
priced in. | | |
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