Futures predicting 5 percent Fed funds rate

Futures predicting 5 percent Fed funds rate: "NEW YORK -- March 22, 2006 -- While they still expect the central bank to boost the federal-funds rate to 4.75 percent during next week's policy-setting meeting, recent economic reports have further validated the belief by futures traders that the Federal Reserve will lift the rate again at its June 29 session.

Monday's contracts indicated an 84-percent chance of the federal-funds rate reaching 5 percent before July. Also, a government report that wholesale prices rose three times more than anticipated growth in February convinced traders that the Fed will continue with its quarter-percentage-point rate hikes into August.

Traders felt certain on Monday that the Fed would not kick up the fed-funds rate to 5.25 percent at its Aug. 8 meeting."