🏦 Largest Fed Funds Futures Trade Ever

A bond trader has just executed the biggest Fed funds futures trade in history. The block involved 200,000 contracts in the January expiry, officially confirmed by the CME as a record.

This isn’t a casual speculative play. The position swings by roughly $8 million in PnL for every 1 basis point move in Fed rate expectations—making it one of the most aggressive rate bets seen in years.

Trades of this size don’t happen by chance. Either someone is placing a high-conviction view on interest rates, or a major player is quietly unwinding exposure.

One thing is clear: the rates market is coming back to life.