Back on July 1, almost a month before the Fed, Goldman first indicated what is coming when it cut the the interest rate on its popular Marcus savings account from 2.25% to 2.15%. 30 days later, Fed Chair Jerome Powell followed.
Now, less than three weeks before the September FOMC meeting, Goldman has cut rates again, telegraphing that a second rate cut from the Fed is now 100% assured.
While there is no one more certain sign that the Fed will do the same next month, it won’t come as a surprise to the market which has long been pricing in 100% odds of at least one rate cut next month, and as of this morning, the odds of a 50bps cut are 15%, although at least according to Goldman’s Marcus platform, those hoping for a double hit of easing will be disappointed.
via ZeroHedge News https://ift.tt/2Ud8p4J Tyler Durden