Goldman Sachs: Fed's Pivot Signal is Clear, Rate Cut Becoming More Likely

BlockBeats News, June 30th: A recent research report by Goldman Sachs pointed out that the Fed's willingness to cut rates is becoming increasingly clear, and the recent trend in the U.S. interest rate market has already responded. This trend is mainly driven by four key factors.

First, the Fed's policy stance is undergoing a subtle shift; second, trade policy uncertainty has significantly decreased. Third, the labor market is showing signs of a widespread slowdown. Finally, the market is beginning to anticipate the potential impact of Fed leadership changes.

The report specifically emphasized that the evolution of the geopolitical situation in the Middle East, potential market overreactions to the change in Fed chairs, and uncertainty factors such as the monetization risk of fiscal deficits, could all be key variables that disrupt the current market balance. (FXStreet)