Citigroup Sees October Rate Cut as Futures Price Early-Fall Fed Hike

Interest-rate futures have been pricing in a Federal Reserve rate hike in early fall, while Citigroup has said it anticipates a rate cut in October. According to Jin10, Bank of America has called for three rate hikes over the full year. Strategists warned that after the removal of an official expectations anchor, markets may treat each policy meeting as a roughly even bet between a hike and a cut.