March Hike Real for Traders as Fed Speakers Talk Up Chances
- Trump address to Congress may reveal details on fiscal plans
- Janney sees data meriting at least 50-50 odds in March
Credit Suisse's Parker Sees Two Fed Hikes in 2017
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The Federal Reserve is forcing the bond market to realize interest rates may go up in two weeks.
While Fed Chair Janet Yellen had been warning that every meeting is “live,” including the March 14-15 gathering, traders remained unconvinced –- until this week’s parade of Fed speakers hammered home their willingness to consider a hike. The odds of an increase have jumped above 70 percent, from 40 percent on Friday, futures prices show. The two-year Treasury yield, the maturity most sensitive to Fed policy expectations, surged to 1.26 percent Tuesday in New York, heading for its steepest two-day climb this year.