Observations of emergency interest rate cuts increase in the US interest rate futures market without waiting for the September FOMC

08/6/2024 4:25 AM GMT+9 (some excerpts)

On the US interest rate futures market on the 5th, there is growing observation that the US Federal Reserve (FRB) will not wait for the US Federal Open Market Committee (FOMC) in September and will make an emergency interest rate cut within the month.
Secured next-day procurement interest rate (SOFR) futures for the 2022/8 fiscal year incorporates the possibility that the FRB will cut interest rates by at least 25 basis points (bp) within the month. The September deadline incorporates 100% of the possibility of interest rate cuts of at least 50 bps.
The federal fund (FF) interest rate futures market also incorporates the 25 bps interest rate cut in August.