Institutional analysis and compilation of the September FOMC dot plot: a total of three rate cuts in 2024

Odaily Star Daily News September Federal Reserve Dot Matrix Chart Institutional Analysis:

1. Bank of Canada: The dot plot suggests that there will be a total of 3 interest rate cuts in 2024, with each cut being 25 basis points, for a cumulative reduction of 75 basis points, which is higher than the median expectation of 25 basis points shown in the previous dot plot. Danske Bank: The dot matrix data shows that there will be a total of 3 interest rate cuts in 2024, each time by 25 basis points, 6 interest rate cuts in 2025, each time by 25 basis points, no interest rate cuts in 2026, and the final Intrerest Rate will be 3.00-3.25%.
2. Barclays Bank: The dot plot suggests that there will be a total of 3 rate cuts in 2024, with a cumulative decrease of 75 basis points. In 2025, there will be a decrease of 125 basis points, reflecting the decline in inflation forecast for the next two years and a significant rise in unemployment rate forecast for this year.
3. Nordea Bank: The dot plot data shows that interest rates will be cut a total of 3 times in 2024, with each cut being 25 basis points, for a cumulative cut of 75 basis points. Interest rates will be cut by another 100 basis points next year, for a total cut of 175 basis points.
4. Montreal Bank: The dot plot suggests that there will be a total of 3 interest rate cuts in 2024, with a reduction of 125 basis points next year, and the long-term or ‘neutral’ level may be raised. Some participants are expected to cut interest rates by at least 100 basis points this year.
5. Economist Gregory Daco of Ernst & Young: The dot plot data shows that there will be a total of 3 rate cuts in 2024, each time by 25 basis points, with a cumulative rate cut of 75 basis points. It is expected to cut rates by 100 basis points in 2025. (FXStreet)