Morning Bid: Nervy markets wait on inflation report, Fed cues

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Morning Bid: Nervy markets wait on inflation report, Fed cues
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A look at the day ahead in markets from Ankur Banerjee.

A trader works at the Frankfurt stock exchange in Frankfurt, Germany, February 22, 2022. REUTERS/Timm ReichertToday marks what has become a monthly routine when investors hold their collective breath for the U.S inflation report, to gauge just how sticky prices are likely to be and the path the Fed will take to tackle inflation.raised rates by 25 basis points

But economic data along with rhetoric from Fed speakers have led markets to price in a two-thirds chance of a 25bp hike in May and standing pat thereafter, according to CME FedWatch tool.Philadelphia Federal Reserve Bank President Patrick Harker said he feels the Fedraising interest rates as he reiterated that the central bank is committed to bringing inflation down to its 2% target.

Meanwhile, Switzerland's parliament on Tuesday failed to approve the 109 billion Swiss francs of financial guarantees used to rescue embattled lender Credit Suisse last month, in a first-round vote that was largely symbolic given the state had committed the funds.

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