Reuters Poll shows majority economists in favor of no rate hike tomorrow

By FXStreet FXStreet (Mumbai) – The latest Reuters poll released today showed 45 of 80 economists expect the Federal Reserve to hold interest rates unchanged tomorrow.

Last week, a similar poll had shown a narrow majority expecting a hike. As per Reuters, 12 out of 22 primary dealers also expect Fed to hold fire. The economists surveyed are based in the North America and Europe.

Meanwhile, the probability of the September rate hike as indicated by the fed funds futures has dropped over the last one month from 55% to 30%. The two-year treasury yield, which mimics rate hike expectations, spiked to 0.8% on Tuesday; its highest since April 2011.
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Source:: FX Street