💸 The Federal Reserve’s balance sheet shrank by $7,469,000,000 in one week!



▪️Market expectations (Federal Reserve rate):
- PAUSE until September 2027.

▪️Logan, Federal Reserve Chair:
- Supported a rate pause, but spoke against the signal that the next move is more likely to be a cut.
- I don’t think it’s appropriate to shift toward rate cuts right now.
- Inflation has been above target for a long time, and there are doubts about how soon it will return to 2%.
- The next step for the Federal Reserve could be either a rate increase or a rate cut.

▪️Bank of America:
- A rate cut is possible only if inflation and the labor market cool down.
- The conflict in the Middle East affects expectations for the Federal Reserve’s monetary policy (ДКП).
- The energy factor is becoming a key driver of inflation.

▪️Morgan Stanley:
- The threshold for a rate cut has risen.
- The Federal Reserve is prepared to keep a tight ДКП for longer.

▪️J.P. Morgan:
- Voting within the Federal Reserve showed an increase in disagreements.
- The wording of the statement has become more neutral.

▪️Charles Schwab:
- The Federal Reserve is likely to take a pause for several meetings.
- Even the risk of tightening is being discussed in the market.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments
  • Pin