Fed to cut rates for first time in a decade.....>

FED: Fed to cut rates for first time in a decade this month (RTRS Poll)

- A quarter-point Federal Reserve interest rate cut in July is almost a done

deal, according to economists in a Reuters poll, who expect another later in the

year amid rising economic risks from the ongoing U.S.-China trade war.

- Expectations in the July 16-24 poll for the first rate cut in more than a

decade have firmed this month after several Fed members have strongly hinted

policy easing is coming soon, pushing U.S. stocks to new record highs.

- While that lines up with most major central banks, which have turned dovish in

recent months, the latest poll shows economists, like financial markets, have

settled on a 25 basis point cut in the federal funds rate to 2.00-2.25% rather

than a half-point reduction.

- Over 95% of 111 economists now predict a 25 basis point cut at the July 30-31

meeting. Only two economists polled expected a 50 basis point reduction and a

further two said the Fed would hold steady.

- Link: https://tinyurl.com/y4yy7por