TSX:AX.PR.E - Post by User
Comment by
Torontojayon Nov 16, 2024 10:52pm
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Post# 36316881
RE:RE:Random thoughts on the economy
RE:RE:Random thoughts on the economy
Frankie10 wrote: I couldn't read all this... I'm sure it was very thoughtful TJ
if you go here
https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html
you can see (if you click Dec 10, 2025)... bond market is currently pricing in 3 cuts by end of next year. And it's interesting to see the probability distribution for more and less cuts... it's always changing but I just wanted to mention it as you mentioned 2Y indicating future cuts.
have a good night and enjoy the football tomorrow.
The
Fed Funds Futures doesn't believe the 2-year t-note will stay elevated by the end of next year as it is now. The bond market as it stands today (not end of 2025) is predicting only 1 more rate cut.
As I mentioned before, the 2 year is forecasting where Fed funds will be in 2 years time.