Swap contracts tied to the Fed meeting favor a 25 basis point rate cut in September

Odaily Planet Daily News: After negotiations in Geneva, China and the United States agreed to reduce tariffs and give each other time to resolve their differences. The progress marks an important milestone between the two economic powers. Large technology stocks, which were hit hard by the sell-off, are expected to rise sharply at the opening, while safe-haven assets fell, with gold, yen and Swiss franc all falling. Traders also cut their bets on the extent of interest rate cuts by major central banks this year. Swap contracts linked to the Federal Reserve meeting now tend to cut interest rates by 25 basis points in September. Last week, these contracts suggested that the Federal Reserve would have policy changes as early as July. (Jinshi)