Institution: The Fed may want to avoid sending the wrong signal by cutting interest rates sharply

Odaily Odaily News: The US Federal Open Market Committee (FOMC) will announce its interest rate decision later today. Maybank analysts said in a foreign exchange research and strategy report that market expectations for a 50 basis point rate cut by the Fed have stabilized in the 60%-70% range. However, analysts said the FOMC may want to avoid sending the wrong signal to the market by cutting interest rates sharply, in part because it could cause panic. Analysts added that market participants are expected to pay attention to Fed Chairman Powell's press conference to understand the nuances of forward guidance on future rate cuts. (Jinshi)