Goldman Sachs: The Federal Reserve's interest rate cut at the upcoming December meeting has basically become a certainty.
Odaily Planet Daily reports that analysts in Goldman Sachs' Fixed Income, Currency, and Commodities (FICC) department believe that the Federal Reserve's interest rate cut at the upcoming December meeting has basically become a certainty. Analysts point out that given the weak trend in the labor market and risk management needs, an interest rate cut at this time is the correct policy choice, and market pricing has fully reflected this expectation. Goldman Sachs analysts point out that, considering the sparse data calendar before this meeting and the high consistency of market expectations, the interest rate cut has been 'locked in.' Taking into account the trajectory of the labor market, the Federal Reserve's interest rate cut in December, followed by a reassessment in January (after actually observing three non-farm payroll reports), is a good risk management strategy. (Wall Street Journal)
