Traders Don't Expect Another Fed Cut Before June, One in '26

The expectation of no further rate cuts before June suggests a stabilizing view of the economy, where inflationary pressures may still be a concern for the Fed. The projected minimal reduction in 2026 indicates a long-term strategy that prioritizes gradual adjustments rather than aggressive monetary easing. This could lead to a more stable environment for Treasuries, but also reflects the Fed's commitment to maintaining control over inflation.