Goldman Sachs: Expects Fed to Keep Interest Rates Unchanged Next Month

BlockBeats News, June 19th, Simon Dangoor, Head of Fixed Income Macro Strategy at Goldman Sachs Asset Management, stated that the Fed's tone at the meeting was moderate. Despite raising short-term inflation expectations, it is expected to cut interest rates twice this year.

He said, "FOMC members' hints are that they continue to believe that the recent strength in inflation is largely temporary, and their tolerance for rising unemployment remains low." "We expect the Fed to stay put at the next month's meeting, but we believe that if the labor market weakens, a new round of easing may be initiated later this year." (FX678)