Just minutes before the monthly jobs report was published on Friday, a trader placed a risky bet in federal funds futures that ended up paying off in a big way. Profits on the position, a sale of the January 2024 contract betting on higher interest rates, were north of $10 million shortly after 10:00 a.m. in New York, following the publication of strong jobs numbers and another report from the Institute for Supply Management that suggested services activity in the US re-accelerated last month. Both releases led investors to price in additional expected tightening from the Federal Reserve this year. The trade was done ... (full story)