U.S. rates futures slip as stock market gains
- Top 10 News for 12/2: Crude Rips on OPEC Cut; Starbucks' Schultz Steps Down; Nonfarm Payrolls Flat in Nov.
- Unemployment Rate Drops to 4.6%
- Bond yields slip on U.S. jobs data, euro steady before Italy vote
- Alibaba (BABA) Founder Jack Ma Discuss Plans to Retire; 'I Don't Want to Die at the Office'
- Starbucks Coffee (SBUX) CEO Howard Schultz to Step Down, Appointed Executive Chairman; Kevin Johnson New CEO
Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.
NEW YORK (Reuters) - U.S. short-term interest rates futures fell on Monday as Wall Street jumped after the FBI said Democratic U.S. presidential nominee Hillary Clinton would not face formal charges after a review of recently found emails.
Renewed focus on Clinton's use of a private email server while secretary of state had led traders to downgrade her chances to win the White House in Tuesday's election.
Polls showed Clinton's lead over Republican rival Donald Trump narrowed after FBI director James Comey sent letters to U.S. lawmakers on Oct. 28 about the discovery of the emails.
A Trump win has worried some investors given his comments about trade which they see as protectionist and would hurt the dollar.
Some traders have speculated that if Trump were to capture the presidency, causing tremendous market turmoil, the Federal Reserve may refrain from raising interest rates at its Dec. 13-14 policy meeting.
Sunday's FBI news is viewed as supportive to a Clinton victory, which ignited purchases of stocks and other risky assets worldwide.
"The big news over the weekend is the FBI’s announcement clearing Clinton once again: based on their review of the recent email find, Comey announced the FBI’s July position remains - that Clinton should not face formal charges," RBS Securities strategists wrote in a research note on Monday.
Federal funds futures were 0.5 basis point to 4.0 basis points lower than Friday's close.
They implied traders saw about a 76 percent chance the Fed would raise rates next month, up from 67 percent late on Friday, according to CME Group's FedWatch program.
Major U.S. stock indexes opened sharply higher with the S&P 500 gaining 1.5 percent. <.SPX>
(Reporting by Richard Leong; Editing by Meredith Mazzilli)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Traders keep bets on Fed rate hike later this month
- Fed's Powell says case for rake hike 'clearly stronger' since Nov meeting
- U.S. rate futures trim gains after GDP data
Create E-mail Alert Related CategoriesFed, Forex, Reuters
Related EntitiesDonald J. Trump
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!