Interest rate cut expectations just keep getting deeper as Powell's 'risk bias' changes
==========
Jerome Powell, Chair of the Federal Reserve, indicates a shift in interest rate policy; current rate is 5.25%, a two-decade high; analysts expect a potential cut of 0.25% to 0.5% in September; JPMorgan forecasts a total cut of 100 bps by year-end; rising unemployment and softening labor demand complicate the Fed's dual mandate of controlling inflation and maximizing employment; Powell's Jackson Hole speech suggests a need for policy adjustment; Wharton Professor Jeremy Siegel advocates for immediate cuts to 4% or less; concerns arise that failure to cut rates could lead to recession.
#FederalReserve #InterestRates #JeromePowell #Economy #Recession #Employment #Inflation #Jpmorgan #BankOfAmerica #LaborMarket
https://fortune.com/2024/08/29/fed-interest-rate-cut-expectations/
Oddbean new post about login | logout