Fed Rate In 2024. The federal funds rate is the interest rate at which depository institutions trade federal funds (balances held at federal reserve banks) with each other overnight. The federal funds rate is the interest rate at which depository institutions trade federal funds (balances held at federal reserve banks) with each other overnight.

The federal reserve is expected to ultimately cut interest rates in 2024, but in a measured way and with action weighted toward the second half. What is the likelihood that the fed will change the federal target rate at upcoming fomc meetings, according to interest rate traders?