The chances of the US Federal Reserve cutting interest rates at any time this year have been pronounced “unlikely” by Richard Tang, Head of Global Markets at $17bn London-based macro hedge fund firm Rokos Capital Management.

In a Bloomberg Television interview last Thursday, Tang acknowledged that while the market is pricing in two cuts this year, the looming US presidential election has muddied the waters when it comes to predicting the path of inflation.

He said: “It’s unlikely that the Fed will be able to cut this year.

“We have a very significant presidential election coming up, and that does have policy implications, so once we get through all of this, it’s pretty much a 50-50 bet whether it’s an ease or a hike.”

Tang's comments come after Citadel founder Ken Griffin's prediction that neither Donald Trump nor Joe Biden are likely to reduce US federal spending — seen as a key barrier to lower inflation — if elected.