UBS: The Federal Reserve's rate cut path remains unchanged, urgency diminishes

ChainCatcher reports that, according to Jintiao, UBS Global Wealth Management stated in a report that although the January non-farm payroll report was stronger than expected, evidence of falling inflation in the coming months should enable the Federal Reserve to maintain its plan for further rate cuts. Chief Investment Officer Mark Haefele said that the institution’s baseline scenario remains a 25 basis point rate cut in June and September, which would create a favorable environment for stocks, bonds, and gold. Data from the London Stock Exchange shows that after the non-farm payroll data was released, the currency market adjusted its expectation for the Federal Reserve’s total rate cuts for the year from about 60 basis points down to approximately 50 basis points, and delayed the next rate cut from June to July.