Comment via SEB, the bank expect8ing a US rate cut next month (And more to follow)
Fed Chair Powell speech at the Federal Reserve Policy Symposium in Jackson Hole:
- This is an opportunity for Powell to address recent stock market turmoil, the recessionary signals from rapidly falling bond yields and impact from the escalating conflict between the US and China.
- We believe Powell will use the occasion to pave the way for another 25bps "insurance rate cut" at the September 17-18 meeting but downplay the need for more drastic moves.
(from a longer piece)
