Traders pare bets on March rate cut after Waller speech

(Reuters) – Traders of futures that settle to the Federal Reserve’s policy rate pared expectations for the U.S. central bank to start lowering short-term borrowing costs in March after Fed Governor Christopher Waller said he is more confident that inflation is on track to the Fed’s 2% goal but that there should not be a rush to rates.

Traders are now pricing in about a 60% chance of a March start to rate cuts, down from about 73% seen before Waller spoke.

(Reporting by Ann Saphir; Editing by Mark Porter)