The Federal Reserve's interest rate meeting is approaching, and the market generally expects another 25 basis point rate cut

ChainCatcher News: At 3 AM Beijing time on Thursday, the Federal Reserve will announce its last interest rate decision of the year. According to futures contracts, the market widely expects the Federal Reserve to cut the benchmark interest rate by another 25 basis points this week. This move will bring the federal funds rate to a target range of 4.25% to 4.5%, a full percentage point lower than when rate cuts began in September.

Vincent Reinhart, chief economist at BNY Mellon and former director of the Federal Reserve's Monetary Affairs Division, believes, "Clearly, the Federal Reserve is in a bind. For officials, unless they are very certain about what changes in the political economy will occur, they cannot really change their forecasts to respond to those changes. At the press conference, the most concerning idea is the thought of skipping a rate cut. So I think, in this regard, it will be a hawkish cut. (Only) as (Trump's) policies actually take effect, the Federal Reserve may further update its forecasts." (Jin Ten)