Bank of America: The Federal Reserve currently has no need to cut interest rates on the scale of an economic recession.

Odaily Odaily News: Bank of America Securities brokerage team said in a report that the Federal Reserve's September rate cut is a foregone conclusion, but there is no need for a radical rate cut that will lead to a recession. Almost all of the increase in the unemployment rate in July came from temporary layoffs, indicating only temporary weakness. Employment may rebound in the August report and the unemployment rate may fall. "Without layoffs, there will be no recession in the United States, and the layoff rate remains extremely low," they said. Bank of America believes that the rate cut cycle will begin in September, with a quarterly rate cut of 25 basis points until the terminal rate of 3.25%-3.5% is reached in mid-2026. "Aggressive rate cuts of 50 basis points or more are made in emergencies, as are actions taken between meetings, but we are not there yet." (Jin Shi P)