Goldman Sachs: A rate cut by the Federal Reserve at its upcoming December meeting is virtually a foregone conclusion.

According to Odaily Planet Daily, analysts at Goldman Sachs' Fixed Income, Foreign Exchange, and Commodities (FICC) division believe a rate cut by the Federal Reserve at its upcoming December meeting is virtually a foregone conclusion. Analysts point out that given the weakening labor market and risk management needs, a rate cut at this time is the right policy choice, and market pricing has already fully reflected this expectation. Goldman Sachs analysts note that given the sparse data calendar leading up to this meeting and the high degree of consensus in market expectations, a rate cut is "locked in." Considering the trajectory of the labor market, a rate cut in December, followed by a reassessment in January (effectively after observing three more non-farm payroll reports), is a sound risk management strategy. (Wall Street News)