July 09, 2024 at 04:15AM
A note from Bank of America with their outlook for the Federal Open Market Committee (FOMC).
We maintain our view on a December cut based on trends in inflation
But. they add:
Risks are tilting towards an earlier cut
net softness in the jobs report should keep expectations of a cut this year in market pricing and should keep September live
labor market continues to cool
we see the activity and employment data as confirming a cooling economy and one that will lead the Fed to begin a gradual rate cut cycle later this year
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As a heads up, Federal Reserve Chair Powell is speaking Tuesday:
Federal Reserve Chair Powell is speaking on Tuesday
How much more confident will Powell be on inflation?
This article was written by Eamonn Sheridan at www.forexlive.com.