Fed Rate Cut Expectations Cool as Economic Strength Persists

Traders now see only 2 Fed interest rate cuts of 0.25% each in 2024, down from 3 cuts previously expected
Markets cooled on expectations of Fed cuts as economic data remains strong and officials push back
Key will be if Wednesday's inflation data shows price dynamics weakening further or accelerating again
At start of year, markets bet on as many as 6 rate cuts in 2023 on expectations of economic stress
Some investors still betting that eventual Fed cuts will fuel a Treasury bond rally, despite recent selloff