Fed Rate Cuts Expected to Begin September 17, Survey Shows

A Reuters survey of 108 economists indicates overwhelming consensus that the Federal Reserve will initiate rate cuts as early as September 17, with three reductions projected through 2025. Nearly 97% of respondents anticipate a 25 basis point cut next week, lowering the target range to 4.00-4.25%.

The MOVE follows weakening jobs data and declining inflation metrics, forcing the Fed's hand after prolonged monetary tightening. Morgan Stanley's chief U.S. economist Michael Gapen notes these cuts aim to relieve pressure on economic growth while maintaining inflation control.

Market analysts suggest crypto assets may benefit from renewed liquidity expectations. Bitcoin and ethereum typically see increased institutional interest during easing cycles, while altcoins often exhibit amplified volatility around macroeconomic pivots.