As the Federal Reserve is set to announce its latest Intrerest Rate decision at 2 AM Beijing time on October 29, the financial markets are once again focusing on this event. Most major financial institutions predict that the Federal Reserve is likely to announce a 25 basis point cut in this meeting, which would be the first rate cut of the year.

Several well-known financial institutions have expressed their views on the direction of the Federal Reserve's policies. Bank of America believes that the 25 basis point rate cut in October may be the only one this year; while Citigroup, Wells Fargo, JPMorgan Chase, and others expect rate cuts of 25 basis points in both October and December. Nomura Securities, French bank Société Générale, and Standard Chartered also share a similar view, anticipating two rate cuts within the year.

It is worth noting that some institutions have more aggressive expectations for future interest rate cuts. UBS Group not only expects a 25 basis point cut in October and December, but also predicts another cut in the first quarter of 2026. ANZ Bank expects that in addition to two cuts this year, there may also be an additional 50 basis points of room for cuts early next year.

These predictions reflect the market's concerns about the outlook for the U.S. economy and inflation trends. Expectations for interest rate cuts could significantly impact the prices of various assets, including stocks, bonds, and the cryptocurrency market. Investors should closely monitor the Federal Reserve's policy statements and the chairman's speeches for more clues about the future direction of monetary policy.

Despite the majority of institutions expecting a rate cut, there remains uncertainty in the actual decision-making. How the Federal Reserve balances inflation pressures with economic growth demands, as well as changes in the global economic situation, could all influence the final policy choice. Regardless of the outcome, this interest rate decision will undoubtedly become an important event affecting global financial markets.