CME Fed Watch Tool shows that the market has not yet decided whether the Fed will cut interest rates by 25 or 50 basis points in September

The Fed's preferred PCE inflation measure won't be released until the end of the month. However, barring unforeseen macroeconomic changes, it is now almost a foregone conclusion that the Fed will slash borrowing costs at its September meeting. However, it is still difficult to predict the specifics of policymakers' next move, and this uncertainty suggests that there may be more volatility ahead. The CME Fed Watch tool shows that the market has not yet decided whether the Fed will cut interest rates by 25 or 50 basis points next month, with traders slightly leaning towards a more cautious rate cut. If the Fed takes more aggressive measures, it may boost the appeal of the retail and consumer sectors. But if officials cut rates more cautiously, investors may think it is a good time to buy the seven major technology giants in the U.S. stock market. The situation will continue to change with the release of initial claims and retail sales data. The Fed may also use the opportunity of the Jackson Hole meeting next week to hint at the direction of interest rates. (Jinshi)