July 25, 2022 19:23 GMT
We've just published our July FOMC meeting preview, emailed to subscribers and available on the MNI website:
- With firm consensus for a 75bp Fed hike, focus at the July meeting will be on Powell and the Statement.
- The key immediate question is the FOMC’s thinking on the magnitude of the next hike.
- A reduction in the size of hikes is likely starting in September, especially given weakening economic data and the ongoing moderation in inflation expectations.
- But for now the FOMC is likely to be non-committal, apart from saying it anticipates ongoing hikes are appropriate.