Traders on Friday increased their bets on a third consecutive rate cut by the Federal Reserve at its December meeting.

Traders increased their bets on Friday that the Federal Reserve will cut interest rates for the third consecutive time at its December meeting, after Fed official Williams indicated that the Fed might cut rates "in the near future." Short-term interest rate futures now reflect a 57% probability of a Fed rate cut in December, significantly higher than the previous estimate of less than 50%.