DAILY BRIEF
Fed rate hike odds tumble to coin flip after Williams says no rush, 10s +7bp · Tue 29 Sep 2026
Treasuries (close 2026-09-28): 2s 4.92% (+11.0bp), 10s 5.24% (+7.0bp), 30s 5.56% (+7.0bp).
Tape (close 2026-09-28): VIX 16.07, 2s10s +32bp.
Narrative: Trump denies offering Iran sanctions relief, Tehran says ready for talks
What mattered:
• Fed rate hike odds tumble to coin flip after Williams says no rush
• Traders trim bets on October Fed rate hike, see just one Fed rate hike by year-end after Fed's Williams says 'no urgency' on Fed action
• Fed’s Musalem says policy still accommodative as demand fuels inflation
• New York Fed's Williams sees one more rate hike late this year
• Fed's Williams: The Fed must make sure high inflation does not become entrenched.