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Traders bring back bets on two Fed rate cuts in 2025

Editor January 15, 2025
2025-01-15T135048Z_1_LYNXMPEL0E0NI_RTROPTP_4_USA-TRUMP-ECONOMY-1

(Reuters) – Traders of interest-rate futures on Wednesday were pricing close to even odds the Federal Reserve will cut interest rates twice by the end of this year, with the first reduction to come in June.

Government data showed consumer prices rose 2.9% in the 12 months through December, in line with economists’ expectations.    Before the report, interest-rate futures were pricing a single quarter-point interest-rate cut this year, no sooner than June.

(Reporting by Ann Saphir)

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