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Credit Markets Eye Fed Decision With $25 Billion of Sales on Tap

  • Markets have priced in a 50-basis-point rate hike on Wednesday
  • High-grade sales views call for $25 billion to kick off May
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High-Yield Credit Closer to a Buy, Says Bianco

Investors will be anxiously awaiting the Federal Reserve interest rate decision next week. 

Markets have already priced in a 50-basis-point hike on Wednesday, expecting the Fed will take a quicker approach in order to squash stubborn inflation. Accelerating U.S. labor costs and a resilient consumer are effectively giving the central bank the green light to raise interest rates by a half-point next week to tamp down price pressures.