As we all know, the Federal Reserve will cut interest rates in September!
But now that the Sino-US trade war is at a critical moment, I wonder if the Democratic Party can withstand the pressure and pour the flood of inflation on the world?
So, don't think too much before things happen.
What if the interest rate is raised? Everyone should be prepared for both situations! ! ! !
There is a possibility that the Federal Reserve will raise interest rates in September, but the probability is low.
The Federal Reserve's interest rate policy has a significant impact on the world, and it must formulate policies based on actual economic conditions.
Currently, both inflation and unemployment rates in the United States are high and the scale of foreign debt is huge, which increases the pressure on the Federal Reserve to cut interest rates.
However, whether the Fed will raise interest rates also depends on whether it can further escalate global conflicts by creating geopolitical conflicts and other means, thereby creating a more favorable environment for its asset acquisitions after the interest rate cut.
At the same time, the Fed also needs to consider the degree of disagreement with the market and the goal of maintaining financial stability. Taking all factors into consideration, although there is a possibility that the Fed will raise interest rates in September, the probability is lower than that of lowering interest rates.
The market generally expects that the Federal Reserve is more likely to take a preventive interest rate cut approach in September, and the probability of a 25 basis point cut for the first time is relatively high!