Fed Decision Preview: Market Focus on Powell's Press Conference

Jinse Finance reported that the market generally expects the Federal Reserve to cut interest rates by 25 basis points, adjusting the policy rate to 3.75-4.00%. At the same time, it is expected that the central bank will announce the end of quantitative tightening (QT). This meeting will not release the quarterly economic outlook report, so the main focus will be on Powell's press conference. It is expected that Federal Reserve Chairman Powell will once again characterize the rate cut as a risk management measure and, in the absence of key economic data, will not disclose too much information in order to maintain stable market expectations. The current market expectation is that a rate cut by the Federal Reserve in October is a certainty, and the probability of a rate cut in December is also close to 100%. By 2026, a cumulative rate cut of 117 basis points is expected, higher than the 75 basis points projected by the Federal Reserve. (Golden Ten Data)