Goldman Sachs Expects the Federal Reserve to Cut Interest Rates Three Times This Year

According to a report by Jinse Finance, Goldman Sachs expects the Federal Reserve to cut interest rates three times this year, with the anticipated rate cuts occurring in September, October, and December, due to sluggish employment growth in the United States. Analysts pointed out that the number of new jobs has slowed to about 30,000 per month, well below the approximately 80,000 needed to achieve full employment, and future data revisions may be negative. They believe that risks stem not only from trade and immigration, but also from the fading of compensatory hiring, with growth in most industries approaching zero. Goldman Sachs warns that even though the unemployment rate remains stable, even a slight slowdown in the labor market is cause for concern. If the unemployment rate rises more significantly, it could trigger a larger 50-basis-point rate cut.