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Generali Economist: A rate cut in January next year is reasonable.
According to a report by Jinse Finance, Paolo Zanghieri, a senior economist at Generali Investments, stated that he and his team believe the market is reflecting a rate cut that exceeds what the Fed may actually implement. "We believe the probability of a rate cut next month is 50%. Given the limited new data, it is reasonable for the Fed to wait until January of next year to cut rates while signaling a tendency towards easing. More importantly, based on hopes for a rapid decline in inflation, the market expects nearly four rate cuts next year, which seems overly optimistic. We expect only a 50 basis point cut by summer."

