Morgan Stanley turns to call interest rates in September: Here is what has changed star-news.press/wp

Morgan Stanley and many other organizations had a “no change” look at the interest rate decision at the Federal Reserve. Even the Federal Reserve kept the interest rate unchanged for the fifth time at the FOMC meeting in July, but it is expected that the results are different for the coming time, especially after the position of this bank has changed.
Morgan Stanley predicts the rate of 25 -bit interest rate in September
Until recently, Morgan Stanley kept an invitation to reduce the interest rate to zero for 2025, where they expect the US Federal Reserve to keep the interest rate unchanged until March 2026. However, this changed, with the bank expected price discounts this year, starting in September and another in December.
It is worth noting that Reuters stated that banks are now expected to reduce the price of 25 basis points in September, and another in December. In addition, they expected a quarterly discounts until 2026. Morgan Stanley also indicated that the reduction of 50 -bit per second is only possible if salary statements show a significant decrease in jobs.
The Federal Reserve can also face internal problems if the cuts come very early, so there is a lot to consider. However, if the cuts occur, the rates may decrease to 2.75-3.00 % by the end of 2026.
Why did Morgan Stanley change the interest rate of the interest rate in September?
A major shift in the global prediction of the American interest rate with Jerome Powell’s speech from Jerome Powell. Even in this, the Powell’s tone, where the most increasing risks in the labor market instead of emphasizing inflation, alluded to the possibility of reducing the interest rate.
As a result, many changed their position on lowering the September prices, including Barclays, Deutsche Bank and even Morgan Stanley. The bank highlights that Powell’s speech indicates that it may tend to protect jobs.
Another possible reason is to build political pressure on the Federal Reserve, especially as President Donald Trump plans to remove federal reserve governor Lisa Cook. She is allegedly involved in a mortgage fraud, and rest officials, including the President of the Federal Reserve, Jerome Powell, have been threatened to shoot at the job.
- Source: Kobe Kobe, Donald Trump against FED FEUD
It also came in the feelings of investors and their bets in September after Powell’s speech. the CME Fedwatch It now shows an opportunity of 84.2 % of the reduction, while polymarket shows 83 %. Among them, 77 % bets are for a decrease in 25 basis points.
- Source: CME Fedwatch, Possibilities of Reducing the interest rate in September
Now, Morgan Stanley’s view of the Federal Reserve is gaining attention as it has turned from the lack of price reduction to two in 2025. This analysis is based on the consensus of the market and political pressure; However, uncertainty is still waving. It is worth noting that Bank of America still does not expect any reduction this year and faces the majority.
Related questions (common questions)
Morgan Stanley originally expected not to reduce a price in 2025, claiming that the Fed Bank would keep the rates unchanged until March 2026.
Morgan Stanley is now expecting price cuts in 2025 and quarterly discounts throughout 2026.
Jerome Powell Jackson Hall, Trump’s threats, and political pressure on the Federal Reserve, increase the risk of price reduction in September.
<!–
–>
<!–




–>
<!–
–>
Leave responsibility: The content and the personal views of the author and the current market conditions reflect. Please do your own research before investing in encrypted currencies, because the author and the post is responsible for any financial losses.
AD disclosure: This site may feature content with care and subsidiary links. All ads are clearly marked, and advertising partners have no effect on our editing content.
<!–
View all






–>
https://coingape.com/wp-content/uploads/2025/08/Morgan-Stanley-Flips-to-September.webp
2025-08-26 12:19:00
partner: