Implied chance of Jan Fed rate cut "as low as 82% after CPI data"

Quote from THE-BEAKER:

try deducting them from 100 that may help.

also consider the settlement of the fed funds future against the fomc decision day.

also consider the eurodollars contracts for the same months.

by working this out you will have the implied forecasted interest rate.

ok so
95.8200 fed funds jan 08
95.275 Eurodollar jan 08

thats 4.18 which is close to the 4.25 target rate for most of jan until the fomc decision jan 29/30. but even with a rate cut of another 25 bps for the last 2-3 days of jan i dont get to that number
a for the eurodollar, i have no idea why it is where it is. dont even know where to start about that one
 
lets see them reduce the rates now, they know reducing rates any further will only create higher inflation, they are now stuck.
 
Quote from enforcer99:

Implied chance of Jan Fed rate cut "as low as 82% after CPI data" - Reuters

Its a matter of opinion not an empirical data.

I can say chances are 60% for a cut in Jan 2008
 
You can just look at a quote somewhere. Google fed funds futures and take the first news link you see...



Quote from rc5781:

wow, that sucks...i thought i could just look at a quote somewhere...lol...
 
Quote from johnston:

ok so
95.8200 fed funds jan 08
95.275 Eurodollar jan 08

thats 4.18 which is close to the 4.25 target rate for most of jan until the fomc decision jan 29/30. but even with a rate cut of another 25 bps for the last 2-3 days of jan i dont get to that number
a for the eurodollar, i have no idea why it is where it is. dont even know where to start about that one

does that mean noone has an idea why this is the case?
thats sad man
 
Back
Top