Deutsche Bank Predicts 25BP Fed Rate Cut This Week, Powell May Signal High 2026 Cut Threshold

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Derived from Odaily, Deutsche Bank analysts predict the Federal Reserve will cut interest rates by 25 basis points during its upcoming meeting on Wednesday, marking the third and final cut of 2025. The analysts expect the decision to not be unanimous and emphasized that Federal Reserve Chair Jerome Powell's press conference and accompanying statement will be critical. They anticipate Powell may highlight that the threshold for further rate cuts in early 2026 will be high, signaling a pause in the near term.

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