Traders’ expectations for a June interest-rate increase surged Wednesday after minutes from the Federal Reserve’s April meeting showed policy makers considered a rate hike next month likely if the economy continued to improve. Derivatives traders are pricing in a 32 percent probability that the Fed raises rates at its June 14-15 meeting, based on the assumption that the effective fed funds rate will trade at the middle of the new FOMC target range after the next increase, up from 4 percent Monday.

Watch Next: FOMC Minutes: Most Fed Officials Saw June Hike 'Likely'

FOMC Minutes: Most Fed Officials Saw June Hike 'Likely'

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