🚀 Standard Chartered Expects Fed to Cut Rates by 50 Basis Points in September
#FedRateCut #FederalReserve #September #50bps #MonetaryPolicy #LaborMarket #EconomicMomentum #StandardChartered #USEconomy #Markets
Key Takeaways:Standard Chartered now predicts a 50 bps Fed rate cut in September, up from its earlier 25 bps call.The revision reflects concerns over U.S. economic momentum and labor market weakness.A larger-than-expected cut would signal the Fed’s urgency to ease financial conditions.Standard Chartered Bank has revised its U.S. monetary policy forecast, saying on Sept. 8 that the Federal Reserve is likely to deliver a 50 basis point rate cut in September.The forecast marks a more aggressive stance compared to its earlier projection of just a 25 basis point reduction. The bank said mounting signs of a slowing economy and weakening labor market conditions could push the Fed toward stronger action to stabilize growth.The September decision will be closely watched as markets assess how far and fast the Fed is willing to ease policy into year-end.#FedRateCut #FederalReserve #September #50bps #MonetaryPolicy #LaborMarket #EconomicMomentum #StandardChartered #USEconomy #Markets
🚀 Societe Generale and Standard Chartered See 50bps Fed Rate Cut Despite Market Consensus for 25bps
#Fed #FOMC #50bps #25bps #RateCut #SocieteGenerale #StandardChartered #FedWatch #Inflation #Jobs #Dollar #TreasuryYields #BTC
Key TakeawaysSociete Generale says the Fed has “over-tightened” policy and must act more forcefully.Both SocGen and Standard Chartered expect a 50 basis point cut at this week’s FOMC meeting.Market consensus remains for a smaller 25bps cut, with CME FedWatch assigning just 4% odds to a half-point move.Analysts at Societe Generale believe the Federal Reserve’s “moderately restrictive” stance has been maintained for too long, pushing policy into a state of over-tightening. With inflation showing stickiness but the employment outlook weakening, they argue the Fed’s dual mandate has shifted decisively toward supporting jobs.As a result, SocGen now forecasts a 50 basis point interest rate cut, saying a more forceful adjustment is needed to rebalance risks.They aren’t alone. Standard Chartered Bank is the only other major institution publicly predicting a 50bps move at this week’s FOMC meeting.Market Still Expects 25bps CutDespite these contrarian calls, traders remain aligned with a smaller move. According to CME FedWatch Tool, futures markets currently price a 96% chance of a 25bps cut, with just 4% odds assigned to a 50bps adjustment.The divergence underscores the uncertainty facing policymakers: inflation remains above target, but jobless claims have surged to four-year highs, signaling cracks in the labor market.Why This Matters for MarketsA larger-than-expected cut could:Boost risk assets like stocks, Bitcoin, and gold, as easier liquidity flows back into markets.Pressure the dollar and Treasury yields, accelerating trends already in play.Signal deeper Fed concern over the economy than markets currently anticipate.For now, the debate reflects the delicate balance the Fed must strike between fighting inflation and preventing a hard landing for growth.#Fed #FOMC #50bps #25bps #RateCut #SocieteGenerale #StandardChartered #FedWatch #Inflation #Jobs #Dollar #TreasuryYields #BTC
🚀 Federal Reserve Faces Division Over Interest Rate Cuts
#FederalReserve #RateCuts #Hawkish #Dovish #50bps #25bps #Waller #Bowman #Milan #Citibank #MorganStanley #JPMorgan #Rabobank #ING #SPIAssetManagement #DeutscheBank #Wrightson #ANZBank #Schmid #Trump #Cook
According to BlockBeats, the Federal Reserve is experiencing a split between hawkish and dovish members regarding the extent of interest rate cuts. Several financial institutions have made predictions about the potential outcomes of the upcoming meeting.
Citibank anticipates that three voting members, including Federal Reserve Governors Waller, Bowman, and Milan, will support a 50 basis point rate cut. Morgan Stanley expects a decision for a 25 basis point cut, although newly appointed Governor Milan may advocate for a 50 basis point reduction.
JPMorgan predicts a 25 basis point cut but foresees 2-3 participants voting against it, favoring a 50 basis point decrease instead. Rabobank believes Milan will join dissenters Bowman and Waller from July in supporting a rate cut, possibly advocating for a significant 50 basis point reduction.
ING suggests that Waller and Bowman might vote for a larger rate cut, with Milan potentially joining them, although there is skepticism about his final vote supporting a 50 basis point cut. SPI Asset Management indicates that 2 or 3 members may back a 50 basis point cut, while others favor a 25 basis point reduction. Cook might shift his stance to support a 25 basis point cut in response to U.S. President Donald Trump.
Deutsche Bank predicts that up to three dovish members may call for a 50 basis point cut, while one or two hawkish members might vote against any rate reduction. Wrightson foresees opposing views, with Waller, Bowman, and Milan advocating for a 50 basis point cut, while some regional Federal Reserve presidents may prefer to maintain current rates.
ANZ Bank expects the rate decision will not be unanimous, predicting at least one official, Milan, will support a 50 basis point cut, while another, Schmid, may oppose any policy changes.#FederalReserve #RateCuts #Hawkish #Dovish #50bps #25bps #Waller #Bowman #Milan #Citibank #MorganStanley #JPMorgan #Rabobank #ING #SPIAssetManagement #DeutscheBank #Wrightson #ANZBank #Schmid #Trump #Cook
🚀 Federal Reserve's October Rate Decision: High Probability of Rate Cut
#FederalReserve #FedWatch #RateCut #OctoberRateDecision #October #DecemberRateDecision #25bps #50bps #PANews #InterestRate
According to PANews, the CME's "FedWatch" tool indicates a significant likelihood of a rate cut by the Federal Reserve in October. The probability of maintaining the current interest rate stands at 8.1%, while the chance of a 25 basis point reduction is at 91.9%. Looking ahead to December, the probability of keeping rates unchanged drops to 1%, with an 18.5% chance of a cumulative 25 basis point cut and an 80.5% likelihood of a cumulative 50 basis point reduction.#FederalReserve #FedWatch #RateCut #OctoberRateDecision #October #DecemberRateDecision #25bps #50bps #PANews #InterestRate
🚀 Federal Reserve Expected to Cut Interest Rates by 25 Basis Points
#FederalReserve #InterestRates #RateCut #BasisPoints #25bps #50bps #BlockBeats #Milan #Fed #MonetaryPolicy
According to BlockBeats, Federal Reserve Governor Milan has suggested that the Federal Reserve should reduce interest rates by 50 basis points. However, it is anticipated that the actual rate cut will be 25 basis points.#FederalReserve #InterestRates #RateCut #BasisPoints #25bps #50bps #BlockBeats #Milan #Fed #MonetaryPolicy