Traders increase bets on the Federal Reserve's interest rate cut

On December 11, according to foreign media reports, after the CPI report was released, swap traders increased their bets on the Federal Reserve cutting interest rates before the end of 2025. They now predict that by then there will be a cumulative rate cut of 87 basis points, which means that the Federal Reserve will cut rates by 25 basis points next week; in 2025 there will be about two more cuts, each time by 25 basis points. This is less than the four times proposed by Fed officials in their latest quarterly dot plot in September.