Fed: Odds of a June hike jump from 6% to 32% - SocGen

Kit Juckes, Research Analyst at Societe Generale, notes that the FOMC Minutes talk of rates rising over time if the economy grows as expected, of the possibility of a hike in June if the data warrant it.

Key Quotes

“Fed wants the market to price in the possibility of a June hike, but won’t do anything next month. If New York Fed President Dudley looks pleased with himself when he speaks at a Fedhosted event at 15:30 BST, it’ll be because the market has largely done what the Fed wanted – Treasury yields are up, but the S&P is little changed, as the odds of a June hike jump from 6% to 32% according to Bloomberg, the odds of a hike this year rising to 73%.”