Ketuo Macro: The Fed will cut interest rates by nearly two percentage points from now on.

Golden Finance reported that Paul Ashworth, an analyst at Capital Economics, said in a report that the Fed may continue to cut interest rates by 25 basis points until the federal funds target Intrerest Rate falls to the range of 3%-3.25%. According to data from the Chicago Mercantile Exchange (CME), this would be higher than the market’s widely expected terminal Intrerest Rate of 3.25%-3.5% or higher. Ashworth expects the Fed to cut interest rates by 25 basis points in November, which is also the most anticipated in the market, but the probability of maintaining the Intrerest Rate unchanged in November has risen from 15% to 22%.

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