Natixis: Unlikely to Cut Rates by 50 basis points in September, says Fed

According to a report from Kit Juckes, chief global forex strategist at BNP Paribas, the currency markets' expectations for a 50 basis point rate cut in September seem overdone, and the current market expectation of a 103 basis point cut in 2024 implies that the Fed will cut rates by at least 50 basis points at one of its remaining three meetings this year, unless the economy slows significantly. Juckes said that the front-end of the interest rate curve has already reflected too much of a rate cut in the next six months, unless the economic slowdown is significant, there is a great deal of uncertainty about the degree of economic slowdown.