Goldman Sachs does not see a cut in 2023

Goldman Sachs is out saying that they do not see a rate cut in 2023.

The markets are still discounting rate cuts, however, despite comments from Powell and Bullard that the Fed is on hold.

THe January 2024 Fed funds futures contract implies a rate of 4.36%. The current fed funds target rate is 5% – 5.25%. Admittedly, the low price from last week did extend down to around 4%.