Fed Funds Disruptions

[Daal]

according to my calc here ff have avgred 2.06% this month, so there wont be any major disruptions on the settlement of the futures if the fed can calm the markets, does anyone disagree

http://www.newyorkfed.org/markets/omo/dmm/fedfundsdata.cfm

 

[nazzdack]

As long as you are taking into account the "new expected target rate" if and when they ease this afternoon.

 

[Daal]

nazzdack, looks like the market bailed me out of my mistake yesterday. the bubble is trying to come back we will see if it wont burst along with the vix

 

[Daal]

talk about disruptions. the fed funds futures market is using the equity market as a guide and is pricing big hike expectations next year. but the equity market is just short-covering, this is unsustainable, I urge everybody to go long deferred fed funds here