Goldman Sachs, JPMorgan Project 25bp Fed Rate Hike This Week
By EC Assets · Published
Goldman Sachs anticipates the Federal Reserve will increase interest rates by 25 basis points this week. The U.S. central bank's Federal Open Market Committee (FOMC) has a scheduled meeting on Wednesday. Morgan Stanley also changed its forecast, now expecting a Fed rate hike. Goldman Sachs and JPMorgan expect a quarter-point increase at the Fed's September 15-16 meeting. HSBC and Deutsche Bank also forecast this rate hike. These expectations follow hotter-than-expected inflation data. Some economists warn the central bank to wait before raising interest rates due to concerns about economic vulnerability. The 10-year Treasury yield recently rose to its highest level since 2007. This rise occurred as expectations for a Fed rate hike increased. The Fed meeting is set to begin, coinciding with fresh warnings about AI. Global monetary policy for the rest of 2026 and beyond may be recast by three central bank decisions this week. These decisions start with the US Federal Reserve on Wednesday. They are followed by central banks in the UK and Japan on successive days. A Goldman Sachs strategist noted a "good runway ahead" for big tech companies despite a possible rate hike. This article is intended for informational purposes only. It does not constitute investment advice.
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