Odaily News Interest rate options traders have stepped up bets that the Federal Reserve will cut interest rates by 50 basis points this month, reflecting growing market speculation that policymakers will take aggressive action to prevent the economy from getting into trouble. Currently, swaps show that the probability of the Fed cutting interest rates by 50 basis points this month is about one-third. "The labor market has slowed and is now getting the Fed's attention," said Priya Misra, a portfolio manager at JPMorgan Asset Management. "Given that the current funds rate is between 5.25-5.5%, the economy is slowing, and the lag between monetary policy and the economy is notoriously long and variable, I think an initial 50 basis point rate cut is very reasonable." (Jinshi)