One Year Treasurys and One Year Forwards

Interest rates still expected to rise, but at slower pace:

Figure 1: One year Treasury (blue), one year forward one year (tan), both in %. Source: Treasury via FRED, and author’s calculations. 

The degree to which rates are expected to be one year hence, relative to current one year rates, has shrunk. In other words, less incremental tightening, than envisaged a couple of weeks ago.