Goldman Sachs: The Federal Reserve's leadership change will not quickly alter the interest rate cut policy

Mars Finance News, citing Jinzhi, Goldman Sachs economist David Merrick said the path for Kevin Worsh to become the Chair of the Federal Reserve is now clearly visible. However, changes in leadership may not immediately alter the Fed’s policy stance in the coming months. He noted that the new chair may not be able to push for rate cuts as forcefully as Powell, especially with uncertainty over the war in the Middle East still extremely high. Goldman Sachs still believes that accommodative policies will be introduced before the end of the year, and it expects the Federal Reserve to cut interest rates by 25 basis points in September and December, respectively.

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