CoinWorld reported that traders are flocking to a specific options bet, believing that the Federal Reserve will significantly cut interest rates by more than 25 basis points next month. Since the beginning of this month, the demand for positions related to the overnight secured financing rate (SOFR), which is closely tied to policy expectations, has been strong. This week, traders have once again increased their bets, with a significant rise in open contracts targeting a 50 basis point rate cut. A few days later, Federal Reserve Chairman Powell will deliver a key speech in Jackson Hole. Previously, inflation data released in the U.S. exceeded expectations, leading some traders to lower their rate cut expectations. Despite a short-term pullback, traders still seem to firmly believe that a rate cut will occur next month. On Tuesday, U.S. Treasury bonds ended three consecutive days of selling, with yields on bonds of all maturities declining. Ian Lingen, head of U.S. rate strategy at BMO Capital Markets, stated: 'As the market prepares for Powell's speech, the biggest risk facing U.S. Treasuries is that the Fed chairman chooses to pour cold water on the widely expected rate cut in September.'