The SOFR options market expects the Federal Reserve to implement two more 50 basis point rate cuts this year

According to data from the Federal Reserve Bank of New York, the secured overnight financing rate (SOFR) was reported at 4.84% on the previous trading day (September 25), the same as the day before. On September 26, the SOFR options market flow included large buy orders, with bets for the second consecutive day that the Federal Reserve will implement two 50 basis point rate cuts in the remaining time of 2024 (two more FOMC monetary policy meetings). The effective federal funds rate on the previous trading day was reported at 4.83%, the same as the day before