Fed's Collins: December rate cut is certainly on the table but not a done deal

• There is more data that we will see between now and December
• Have to continue to weigh what makes sense
• Fed could eventually slow down pace of rate cuts but too soon to say if it will be in December
• Fed policy is restrictive
• Don’t see evidence of new price pressures
• Full transcript (may be gated)

After Powell’s comments yesterday, the odds of a 25 bps rate cut have dwindled to ~63% and is keeping that way now. Collins’ remarks reaffirms that there is a likelihood of a pause next month and that is keeping markets on their toes.

This article was written by Justin Low at www.forexlive.com.



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