US Funding Rates and FOMC Statement
February 1st, 2024
The US Gov’t is presenting updating funding rate values tonight. The funding rates have been stable at 5.5% and the market continues to expect them to remain at 5.5%. It’s highly unlikely there is a deviation from this expectation, but if there is the markets will likely react strong (greater than 5.5% would be bearish, less than 5.5% would be bullish)
If the expected 5.5% remains true, then the market reaction will come from the FOMC statement in which they discuss the market sentiment and where they are planning for the future. This Statement will largely lay the framework of what the market will expect at the next FOMC meeting so that will begin to be priced in immediately and the markets may be volatile.
*Times shown in the image are UTC