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Fed is expected to cut rates next week, but some of its reasons may be fading
Markets are braced for the Fed to cut rates by a quarter point next week, but some economists say a few of the reasons the Fed gave for making the cuts may be less pressing now. Some see the Fed pausing after next Wednesday’s cut. Goldman Sachs economists, in fact, expect the Fed to signal it will hold off after that one. “They’re in a very interesting period. It seems that the international risks they’ve been citing seem to be fading,” said Drew Matus, chief market strategist at MetLife Investment Management. He said trade war fears seem to have calmed down with talks between the U.S. and China ... (full story)
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