[U.S. Bond Traders Build Positions Betting on Fed Rate Hikes Soon, Wednesday's Inflation Report in Focus] Bond traders are aggressively building positions, betting that the Federal Reserve will raise interest rates multiple times in the coming months, with some expecting action as early as the September policy meeting. This is the prevailing theme in the options market tied to the Secured Overnight Financing Rate (SOFR), which is sensitive to Fed policy. Since last Friday's unexpectedly strong U.S. jobs report, which triggered a sell-off in the bond market, traders have been increasing their bets on rate hikes. (Sina Finance)