Fed Funds futures
BankingDefinition
Futures contract on the average effective Fed Funds rate during a calendar month. Settles at month-end. Most direct way to bet on Fed policy decisions.
The implied probability of rate moves at upcoming FOMC meetings is calculated from the FFF curve daily. CME FedWatch tool publishes the implied probabilities and is widely cited in market commentary.
The implied probability of rate moves at upcoming FOMC meetings is calculated from the FFF curve daily. CME FedWatch tool publishes the implied probabilities and is widely cited in market commentary.