Goldman Sachs: The Federal Reserve's interest rate cut at the upcoming December meeting has basically become a foregone conclusion

According to a report by Wall Street News, analysts from Goldman Sachs' Fixed Income, Currency and Commodities (FICC) division believe that a rate cut by the Federal Reserve at the upcoming December meeting has basically become a foregone conclusion.

Analysts point out that, based on the weak trends in the labor market and the need for risk management, a rate cut at this time is the correct policy choice, and market pricing has fully reflected this expectation.

Comments made by Williams last Friday are sufficient to indicate that there is enough support within the Federal Open Market Committee (FOMC) to push for a rate cut. As a result, market pricing has rebounded to 21 basis points. With the Federal Reserve officially entering its quiet period, the probability of a rate cut indicated by market pricing has reached as high as 85%.