Standard Chartered firmly believes that the Fed will cut interest rates in December: the US Non-farm Payrolls (NFP) data is likely to be very weak.

[Standard Chartered firmly believes that the Fed will cut interest rates in December: Non-farm payroll data is likely to be very weak] Despite significant divisions among Fed policymakers ahead of the December meeting, Standard Chartered stated that this is unlikely to prevent the Fed from continuing to cut rates and warned that weak expectations in the labor market will continue to dominate the direction of monetary policy. Steve Englander, Head of Global G10 Forex Research and North American Macro Strategy at Standard Chartered, stated in a recent report: “We maintain that the FOMC will cut rates in December, primarily because we believe that the employment data from September to November is likely to be very weak, which should be enough to sway the moderates at the Fed towards the rate-cutting camp.” (Jin10)