#Fedratecutexpectationsheatup October has become the peak season for rate cut expectations. Here’s the latest:
🔍 What Do the Macro Indicators Say?
Weakening employment: ADP private sector data shows only 89,000 new jobs in September—far below expectations.
- Inflation under control: The Fed’s preferred inflation gauge, Core PCE, remains steady at 2.9%. This opens the door for potential rate cuts.
- Government shutdown: With the U.S. federal government closed, official data flow has halted. The Fed may have to make decisions with incomplete information.
📈 Market Expectations
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