Link Securities | According to a Reuters poll, a majority of economists surveyed believe that the Federal Reserve (Fed) will cut its policy rate by 25 basis points at each of the three remaining policy meetings this year (September, November and December). Moreover, only nine economists out of 101 surveyed expected a cut of half a percentage point next week, when the Federal Open Market Committee (FOMC) meets, while 92 out of 101 economists surveyed expect a 25 basis point cut.
In addition, 54 of 71 economists surveyed said a 50 basis point cut at any of the Fed’s remaining meetings this year was unlikely, including five who said it was very unlikely. Thirteen said such a move was likely and four said it was very likely.
