"ANZ Bank boldly predicts: The Fed will cut interest rates by another 150 basis points in this cycle, and market volatility is coming!" ANZ Bank economists pointed out in their latest report that after just cutting interest rates by 50 basis points, the Fed may cut interest rates by another 150 basis points in this cycle! This means that the Fed may take a series of easing measures in the next few meetings to stabilize the economy and labor market while further easing inflationary pressures.
The logic behind the rate cut: seize the market opportunity
Fed Chairman Powell has sent a signal that if the employment and inflation data released in July show that the economy is slowing down, then the easing cycle has quietly begun. The 50 basis point rate cut is just the beginning. The next few meetings may cut interest rates by 25 basis points each time to ensure that the Fed is always ahead of the curve and is not left behind by market trends.
Market trend expectations: The interest rate cut storm continues to ferment
This round of cycle is expected to cut interest rates by a total of 200 basis points, which will undoubtedly bring shocks and opportunities to multiple asset classes such as the crypto market, stock market, and bond market. For investors, stable operations and timely response strategies will be key.
No matter how the market changes, only by keeping up with the economic pulse can we move forward steadily in the storm! If you want to gain more insights into the market trend, remember to follow Boshi, let us seize the investment opportunities together!