Chances of big cut diminish on Bernanke testimony

Market predictions of another cut to the federal funds rate of at least 50 basis points looked far from certain, following comments from Ben Bernanke, the chairman of the Federal Reserve.

Federal funds futures trading on Wednesday showed the majority of traders believed the Federal Open Market Committee would cut rates by at least 50 basis points when it next meets on 18 March.

However, Bernanke's statement to the US Senate's Committee on Banking, Housing and Urban affairs on Thursday 14 Febr