Nomura: Expectation that the Fed will pause rate cuts in December
BlockBeats News, November 12th, Nomura Securities now expects the Federal Reserve to keep interest rates unchanged in December, arguing that despite the government shutdown affecting the release of official data, recent indicators still show the labor market's resilience.
The bank said in a report to clients that Federal Reserve Chairman Powell's unexpectedly tough tone at the October press conference has reinforced the bank's view that the Fed may pause rate cuts after two consecutive cuts.
A pause in rate cuts could reignite political pressure on the Federal Reserve, with President Trump expected to criticize this decision, claiming it is an early restriction on economic growth as the election year approaches. (Jinshi P)
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