PANews reported on August 9 that according to Jinshi, the vast majority of economists surveyed by Bloomberg expect the Federal Reserve to only cut interest rates by 25 basis points in September. This is contrary to the voices of some large Wall Street banks that believe that the next meeting will see a significant rate cut.
Nearly four-fifths of survey participants expect the Fed to cut interest rates to a range of 5% to 5.25% at its Sept. 17-18 meeting, with most of the rest predicting a bigger cut. The median forecast of economists also showed only a 10% chance that the Fed would make a rare rate adjustment before its scheduled meeting.
The consensus among economists is that the Fed will choose to cut interest rates by 25 basis points at its meetings in September, November and December this year and in the first quarter of 2025. It is reported that the 51 economists were surveyed from August 6 to 8, when global markets were in the midst of a sell-off.
