Monday, April 9, 2007

US RATE FUTURES-Snuffing out prospects for '07 Fed cuts

(Reuters) - The Labor Department's Easter surprise, showing March job creation well above expectations, pushed the chance for a Fed ease by June , as measured in futures, to 10 percent from about 30 percent in late March.

Futures suggest a year-end federal funds rate of 4.97 percent versus 4.81 percent before the jobs data. For much of March, futures hinted that the Fed would cut rates two or three times before year-end from the current 5.25 percent.


Read more at Reuters.com Bonds News

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