The advanced economy (AE) world has now moved into an easing momentum. The latest to join the bandwagon is the US Federal Reserve with a 50 basis point (bps) cut. Fed’s Jerome Powell, while not decisively ruling out another 50-bp cut at the November meeting, has, to an extent, downplayed the possibility of the same. At the time of writing, the CME Group’s Fed watch tool now considers a 66 per cent chance of a 25-bp cut. But as recent evidence will have it, one cannot be sure, and another dose of lower-than-expected labour market reading could again swing it.
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