TechFlow news, September 10 — According to Jinshi Data, Kieran Williams, Head of Asian FX at nTouch Capital Markets, said: "The bar for a 50-basis-point rate cut is high, and it may require core inflation to come in significantly lower than expected to give doves sufficient confidence. Considering sticky service prices and the Fed's tendency to send gradual signals, a large rate cut next week seems unlikely, but data will influence how positively markets price in the easing path by year-end."
Senior Market Analyst at City Index, Matt Simpson, also stated: "I think a 50-basis-point rate cut right now would hurt market confidence more than help. Moreover, the Fed may want to save face and won't fully yield to Trump's demands."
Simpson noted, "Market pricing currently reflects expectations for three rate cuts over the next three meetings. The Fed is in a good position to align well with these expectations or increase the probability of rate cuts in 2026—without being forced into a 50-basis-point cut next week."
