Next Week's Macro Outlook: Fed Rate Cut Cycle Set to Restart, Dot Plot Becomes New Market Focus
BlockBeats News, September 13 — Over the past week, moderate CPI and PPI inflation reports, along with a surge in initial jobless claims, have paved the way for the Federal Reserve to cut rates by at least 25 basis points at its September meeting. Concerns over the labor market and prices have led the US Consumer Confidence Index to hit its lowest level since May, with long-term inflation expectations rising for two consecutive months.
The Federal Reserve will hold its policy meeting next week. A 25 basis point rate cut itself is unlikely to trigger market volatility. If that is indeed the case, market participants may quickly shift their focus to Fed Chair Powell’s press conference and the latest Summary of Economic Projections (SEP), especially the new “dot plot.” Here are the key points the market will focus on in the coming week (all times in GMT+8):
Wednesday 21:45, Bank of Canada announces its rate decision;
Thursday 2:00, Federal Reserve FOMC announces its rate decision and Summary of Economic Projections;
Thursday 2:30, Federal Reserve Chair Powell holds a monetary policy press conference;
Thursday 19:00, Bank of England announces its rate decision and meeting minutes;
Friday (time to be determined), Bank of Japan announces its rate decision;
Friday 14:30, Bank of Japan Governor Kazuo Ueda holds a monetary policy press conference.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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