Focus on the FOMC, the degree of rate cuts and interest rate outlook are the focus of the U.S. stock market this week.

September 16, 2024 12:46 pm GMT+9 (excerpt)

In the U.S. stock market for the week of the 16th, there is a sense of uncertainty regarding the degree of rate cuts by the Federal Reserve, and attention is focused on the Federal Open Market Committee (FOMC) to be held during the week.
In recent weeks, the market has experienced volatile movements due to concerns about the economy and speculation about the extent of rate cuts at the FOMC meeting on the 17th and 18th.
According to CME's Fed Watch, there has been increasing speculation in the interest rate futures market on the 13th that the rate cut will be 50 basis points (bp), which is almost in opposition to the expectation of a 25 bp rate cut. Read more
These movements reflect the market's view that the Fed will take proactive rate cuts to prevent deterioration in the labor market, rather than adopting a cautious approach.