CICC: Taking into account the overall economic data, it is predicted that the Federal Reserve will cut interest rates by 25 basis points next week

Odaily News CICC's research report pointed out that the US non-farm data in October was weak and below expectations, partly due to the impact of hurricanes and strikes. The hurricane forced a large number of people to evacuate, and caused a significant decrease in the response rate of corporate surveys. The number of people employed in the service industry such as leisure and accommodation has plummeted, and the number of people who cannot go to work due to weather reasons has surged. The strike has led to a significant decline in manufacturing employment. But these are temporary disturbances, and their impact may be reversed in the coming months. Overall, the US labor market is still gradually cooling down, and there is no sign of rapid deterioration. Taking into account the overall economic data, it is predicted that the Federal Reserve will cut interest rates by 25 basis points next week, and monetary policy will continue to return to normal, but the pace of interest rate cuts will not be as aggressive as the market previously expected. (Jinshi)