Goldman Sachs Forecasts Another Fed Rate Hike in October

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โดย GuruFocus·US·Read original
Summary · why it matters

Goldman Sachs now expects the Federal Reserve to raise rates by another 25 basis points in October, after policymakers lifted the target range to 3.75% to 4%, according to Reuters. The bank's shares slipped approximately 0.1% to $937.26 on the revised call. Sixteen of 18 Fed officials see at least one more increase this year, while four anticipate two. Goldman's forecast remains an economic call rather than a guarantee that policymakers will follow that path. For the bank, further tightening cuts both ways: higher volatility can drive more hedging, trading and risk-management activity through its markets franchise, but pricier financing can cool acquisitions, delay equity offerings and pressure asset valuations.

Impact on stocks 3

Financials · 1 stocks
Goldman Sachs Group Inc
GS
± MixedMonetaryrelevance

Goldman forecasts another 25bp Fed hike in October, which cuts both ways for its markets franchise and dealmaking.

Others · 2 stocks