Fed funds futures now pricing in next rate hike in June vs March previously

Fed funds futures are now not pricing in the next rate hike until June, according to CME's closely watched FedWatch tool.

Previously, the implied odds favored a hike in March.

The odds for a hike in June now stand at 65 percent, the first time they are better than 50-50.

Separately, RBS said the market is pricing in one hike this year and a 70 percent chance of a second hike, down from two full hikes earlier in the week. This is based on RBS interpretation of overnight index swaps data.