JPMorgan, the largest bank in the United States, believes that the US central bank will start to lower its policy interest in September. That is not the case, because before the end of the year they expect a total of 1 percentage point at JPMorgan to interest in interest.
Many interest rates on the way
If we are allowed to believe the experts from the investment bank, then there are many interest letings coming. Not only in September, but also in October and December they expect interest rates.
For one of those meetings, they even foresee a reduction of 50 basic points, while the central bank normally works with steps of 25 basis points. According to them, weakness lies on the labor market at the basis of that series of interest rates that they predict for the further course of 2025.
Earlier this month, JPMorgan even warned that the US economy gave signals of a recession after the job growth disappointed before July and the figures for May and June were considerably adjusted down.
It is clear that they do not have a lot of confidence in the US economy at JPMorgan. After all, if you look at the inflation figures that came out last week, you would not expect that many interest rate letings will arrive.
After all, inflation was higher than expected on some points, while the economy does not seem to be shouting clearly for help. That is usually not the scenario in which there are many interest rates.
Morgan Stanley: You should buy these shares
While they are afraid of a weak economy at JPMorgan, the analysts from the Morgan Stanley investment bank indicate that they have faith in the stock market. In conversation with Bloomberg, Mike Wilson, expert in the field of the US stock market, indicated that according to him there is an early bull market.
That bullmarkt would have started after the “nasty” correction of April. That was the correction that came when the world was extremely afraid of the tax war of Donald Trump. At that moment everyone thought he would cause a recession.
Do you believe we are in a new bull market? And will Bitcoin (BTC) also benefit from that?
Source: https://newsbit.nl/jpmorgan-voorspelt-4-renteverlagingen-amerikaanse-centrale-bank-in-2025/
