Global interest rate expectations remained stable last week, with traders anticipating modest rate cuts by year-end for the Federal Reserve and the Bank of England. The Federal Reserve is expected to cut rates by 16 basis points with a 65% probability, while the Bank of England is projected to reduce rates by 15 basis points with a 57% likelihood. Meanwhile, the European Central Bank is expected to maintain its current rates, with a 96% chance of no change.
The Bank of Japan stands out as an exception, with expectations of a 6 basis point increase by the end of the year. Despite strong US ADP and ISM data, market sentiment remained unchanged, as investors await key US nonfarm payrolls and CPI reports for further guidance.
Global Rate Expectations Steady Amid Central Bank Projections
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