Based on the Fed Funds futures traded at the Chicago Board of Trade, the market forecasts that the Federal Open Markets Committee (FOMC) of the Federal Reserve will cut the Fed funds rate 25 basis points to 2% at its April meeting, which concludes on April 30.
Based on the prices of distant Fed Funds contracts, this will be the last rate cut of the current easing cycle and the Fed will begin tightening rates beginning with a quarter percent increase back to 2.25% at the meeting ending on Oct. 29 or at the December meeting.
