A snippet from a note from Fitch following the US CPI data:
- Sufficient confidence to begin cutting interest rates is getting closer
- the Federal Reserve will likely want to see similar prints in August and September before pulling the trigger on that first rate cut
Other analysts are more convinced a cut is coming:
- More on the JP Morgan September Fed rate cut call, if you can make any sense of it
- Here's another forecast for a September Federal Reserve rate cut
An argument I've pondered against a September cut is that with the election now seemingly a one-horse race, why cut in September when they could cut on November 7 and provide a gift to the new guy to keep him off their backs for a while? Too cynical?
