Focus on the upcoming Fed meeting minutes: clues for the next interest rate cut?

The Fed’s minutes will clarify the rationale for the recent 0.25% cut and the implications of weak labor reports. Futures markets anticipate 1-2 more cuts by year-end, despite differing opinions among officials.

Chair Jerome Powell pointed out that the labor market is cooling, and persistent inflation risks have lessened, reflecting a shift in Fed policy priorities amidst continued pressures.