Nov 7 (Reuters) - Major brokerages including J.P.Morgan, Barclays and Goldman Sachs have forecast a 25-basis-point interest-rate cut by the U.S. Federal Reserve at its November 6-7 meeting.
The central bank cut interest rates by an oversized 50 basis points at its Sept. 17-18 meeting.
Fed Chair Jerome Powell said the reduction was meant to show policymakers' commitment to sustaining a low unemployment rate now that inflation is easing.
Besides Citigroup, all major brokerages also continue to see a 25-bps cut at the Fed's December meeting.
Here are the forecasts from major brokerages:
Rate-cut estimates (in bps) | ||
Brokerages | 2024 | |
Nov | Dec | |
BofA Global Research | 25 | 25 |
Deutsche Bank | 25 | 25 |
Barclays | 25 | 25 |
25 | 25 | |
Goldman Sachs | 25 | 25 |
J.P.Morgan | 25 | 25 |
** UBS Global Wealth Management | 50 | |
Citigroup | 25 | 50 |
** 50 bps could be for November and December combined, or just 50 bps each for either November or December
(Reporting by Gokul Pisharody in Bengaluru; Editing by Pooja Desai)
((Gokul.Pisharody@thomsonreuters.com;))
