Goldman Sachs Predicts the Fed Will Significantly Ease Policy, Cutting the Federal Funds Rate by About 200 Basis Points
Publication Time:2024-08-23 19:41:09
According to Jinse Finance, David Mericle, an economist at Goldman Sachs, analyzed the interest rate outlook for the Federal Reserve in his latest report. Mericle pointed out that given the current economic situation and potential uncertainties, the Federal Reserve may adopt more aggressive easing measures. Specifically, he predicts that the Fed will cut rates at each of its next three meetings and then further intensify easing efforts, ultimately lowering the federal funds rate by about 200 basis points. This expectation aligns roughly with market consensus, reflecting the general expectations of the market for policy adjustments under the current economic environment. Mericle also mentioned that Federal Reserve Chairman Powell may provide more specific policy guidance at the upcoming Jackson Hole meeting; however, these remarks will remain relatively vague to avoid causing unnecessary market volatility.
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Goldman Sachs prediction
Federal Funds Rate