Positions in futures tied to the Federal Reserve's benchmark interest rate have surged to an all-time high as traders brace for the risk the central bank could start pushing rates higher Wednesday. Open interest in the federal funds futures that will settle after the upcoming decision reached 967,136 contracts on Monday, surpassing the previous record set by October 2024 contracts. The trading reflects an unusually large divide over the Fed's next move, with traders still factoring in a roughly one-third chance of a quarter-percentage-point hike by late Tuesday. The doubts are being fostered by cross-currents in the economy as well as the shift in leadership at the Fed, where Chairman Kevin Warsh has favored jettisoning his predecessors' practice of providing guidance on the central bank's likely moves.
Apple Inc.
NVIDIA CorporationCME Group IncRecord open interest in Fed futures directly boosts CME's trading volumes and revenue.
ASML Holding N.V.
JPMorgan Chase & Co