Market anticipates 80% chance of rate cut in November, potential impact on various sectors

From Investing.com: 2024-10-11 02:41:00

The recent CPI report came in higher than expected, leading the swaps market to forecast increased inflation rates for October, November, and December. With a 4% wage growth figure, inflation is estimated to run around 3%. The swaps market still anticipates an 80% chance of a rate cut in November. However, the potential for rising long-term rates could impact mortgage rates and stock sectors like utilities and staples. The 10-year Treasury yield increase has caused the dollar index to decline. As the market adjusts to potential yield curve shifts and policy errors, uncertainty looms over various sectors, including utilities and consumer staples.



Read more at Investing.com: Today’s PPI to Offer More Clarity on Odds of November Cut – Here’s What to Watch