Wu said that according to a Wall Street Journal reporter Nick Timiraos, the June employment report will make the July Fed meeting more interesting because it may be the first time this year that there will be a real discussion about whether to cut interest rates at the next meeting (September). In non-crisis times, the Fed usually prefers to maintain the status quo because it wants to clearly explain its actions and reasons in advance. The minutes of the June FOMC meeting showed that no one clearly put forward the reason for cutting interest rates in July. The focus of the July meeting may be to set the threshold for a September rate cut.
