Prospects for Federal Reserve Rate Cuts and Internal Positions

The current market believes there is about a 75% chance of a rate cut in September by the Federal Reserve (which means there is a 25% chance of keeping rates unchanged)

However, other data from the CME FedWatch Tool indicates that this probability could range between 71.5% and 85%

From a policy perspective, Boston Fed President Collins believes that if the labor market deteriorates further, there may be a tendency to cut rates in the short term; however, Cleveland Fed President is concerned that inflationary pressures still exist and opposes immediate action

It can be seen that there is still significant disagreement within the Federal Reserve regarding the timing of rate cuts, and the decision will depend on important economic data in the coming weeks.