Fed Funds Rate Futures

The Fed Funds Rate is in a "target range" of 0.000-0.250 percent -- the lowest it's been history. It's a stimulative position for the economy and markets don't expect the rate to change. Based on trading in Fed Funds Futures, Wall Street predicts with 100% certainty that the Federal Open Market Committee will vote to leave the Fed Funds Rate unchanged. However, just because the Fed Funds Rate will be staying as-is doesn't mean that mortgage rates will, too.

So that brings us to today's Federal Open Market Committee meeting. Looking at the chart at top, markets are 99.3% certain that the Federal Reserve won't raise the Fed Funds Rate from its current range of "near-zero". Investors have come to this conclusion because the Fed has repeatedly said it...

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The Federal Reserve meets next week for a policy-setting meeting. It’s one of 8 scheduled Fed meetings this year in which the Federal Open Market Committee votes on whether to raise, lower, or leave unchanged the Fed Funds Rate. The Fed Funds Rate is the rate at which banks lend...

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The Fed Funds Rate Is Predicted To Fall To 0.750 Percent by October 29, 2008

Using Fed Funds Futures Charts To Explain Mortgage Rate Movement

This graphic charts how think the Federal Open Market Committee will change the Fed Funds Rate at its two-day meeting starting April 29. Here's how to follow along:

The Federal Reserve meets next week for a policy-setting meeting. It’s one of 8 scheduled Fed meetings this year in which the Federal Open Market Committee votes on whether to raise, lower, or leave unchanged the Fed Funds Rate. The Fed Funds Rate is the rate at which banks lend...

*** Click the title to see complete post and pictures from http://www.themortgagereports.com ***

The Federal Reserve meets next week for a policy-setting meeting. It’s one of 8 scheduled Fed meetings this year in which the Federal Open Market Committee votes on whether to raise, lower, or leave unchanged the Fed Funds Rate. The Fed Funds Rate's macroeconomic implications, in part, led to the...

*** Click the title to see complete post and pictures from http://www.themortgagereports.com ***