Allianz: Delaying the expectation of Fed interest rate cuts from October to December

According to a report by Golden Ten, analysts from Allianz Research predict that the Federal Reserve may remain inactive until the December interest rate cut, maintaining the policy rate in the range of 4.25% -4.50%. The institution has postponed its expectation of a rate cut by the Federal Reserve from October to December. The reason for making the adjustment is that they now believe that US inflation will peak at the beginning of the fourth quarter, rather than the third quarter. Analysts say that the Federal Reserve is unlikely to relax monetary policy during the peak of inflation. The expectation from the Allianz Research Department also means that interest rates will remain unchanged at next week's FOMC meeting, which is in line with money market pricing.