The Federal Open Market Committee (FOMC) meet on the 30th and 31st:
- statement due at 1400 US Eastern time (1800 GMT)
- Federal Reserve Chair Powell’s press conference follows a half hour later
Deutsche Bank expect nothing at this week’s meeting:
- first 25 basis point cut in September
- followed by a 25 bp cut in November
- and then another 25 bp cut in December
- then a pause until September 2025
Bank of America say so, “We think the markets are back to being overly optimistic about the upcoming rate cycle”
- Bank of America says strong economic growth in the US means the FOMC ‘can afford to wait’
Earlier:
- Morgan Stanley says this week’s FOMC statement will lay foundation for 3 cuts this year
- UBS says a Federal Reserve policy pivot is “on the horizon”
- Timiraos: Fed cut unlikely on Wednesday but officials wary of waiting too long
This article was written by Eamonn Sheridan at www.forexlive.com.
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