Investors are growing increasingly confident in an interest rate cut at the Federal Reserve's September meeting. However, the size of that cut — whether 25...
Investors are growing increasingly confident in an interest rate cut at the Federal Reserve 's September meeting. However, the size of that cut — whether 25 basis points or 50 basis points — remains an open question. HSBC chief US economist Ryan Wang joins Morning Brief to discuss what the Fed's move may look like and some of the biggest factors impacting the decision.
Look, I think as we've gotten some more economic news over the past several weeks, I think that 25 basis point rate cut at the September policy meeting is looking more and more likely. So, so what is it, what is the larger, more outsized part of the mix that is still accounting for the most rises in prices that we're seeing.I think this is why the labor market data have been so important because they in a way have a double implication.So when they see signs that the unemployment rate is rising, that labor market conditions are less tight.
But you know, also when you look at what businesses are saying anecdotally, uh comments about labor shortages are becoming narrower, there are still pockets of labor shortage, but in some cases, these might be structural shortages, you know, particularly in skilled trades where businesses may not even have an expectation that they're going to be filling their open positions.
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