Daily Flows

• On the last day of the quarter, the standout rate was 4.53% for 2-year Term Deposits, offering significant value compared to market levels.
• Market participants saw rates above 4.75% for 9-month NCDs and 5.00% for 6-month TDs.
• Today, a bid tone is returning to the market, with several domestic banks actively chasing funds.

Federal Reserve is Not in a Hurry to Cut Rates Quickly

• Markets were quiet yesterday, with minimal data to drive trading.
• As a result, Powell’s public address was closely watched. He noted that the U.S. economy is performing well and that the FOMC is not in a hurry to reduce rates, stating that policy is not on a preset path.
• The FOMC is forecasting two 25bps cuts by the end of this calendar year.
• Powell’s comments led to a slight uptick in Treasury yields and a modest rise in equities.