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Traders Rethink Fed Rates Outlook as Growth Worries Build - BLOOMBERG

MARCH 18, 2026

 Bond traders are unwinding a flurry of recent wagers against US Treasuries as confidence returns that the Federal Reserve will be able to cut interest rates again this year.

As war in the Middle East sent oil prices soaring, stoking inflation fears, traders pushed back expectations for the Fed’s next rate cut into next year. This week, the market shifted back to pricing at least one quarter-point reduction by the end of 2026.

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