AAPL 
MSFT 
GOOGL 
AMZN 
TSLA 
NVDA 
META 
JPM 
V 
JNJ 
UNH 
DIS 
NFLX 
Factbox: Most Brokerages Anticipate 50 Basis Points of Fed Rate Cuts for Remainder of 2024 – Reuters
Most major brokerages anticipate that the U.S. Federal Reserve will implement a cumulative interest rate reduction of 50 basis points during its November and December meetings. This follows the central bank’s recent announcement of a significant 50 basis points cut earlier this month.
Fed Chair Jerome Powell described the cut as a "recalibration" aimed at addressing the notable decrease in inflation observed since last year. He emphasized that while the economy remains robust, the central bank is keen to stay proactive in preventing potential job market deterioration.
Here’s a summary of the forecasts from major brokerages following the Fed’s decision:
Rate Cut Estimates (in basis points)
| Brokerage | November | December | Fed Funds Rate at End of 2025 |
|---|---|---|---|
| BofA Global Research | 50 | 25 | 2.75% – 3.00% |
| UBS Global Wealth Management | 50 | 100 | 3.25% – 3.50% |
| Deutsche Bank | 25 | 25 | 3.25% – 3.50% |
| Barclays | 25 | 25 | 3.50% – 3.75% |
| Morgan Stanley | 25 | 25 | 3.25% – 3.50% (through June 2025) |
| Macquarie | 25 | 25 | 3.25% – 3.50% (through June 2025) |
| Goldman Sachs | 25 | 25 | 3.25% – 3.50% (through June 2025) |
| Citigroup | 50 | 25 | |
| J.P. Morgan | 50 | 25 | |
| HSBC | 100 | 25 | 3.25% – 3.50% (through June 2025) |
Additionally, here are the forecasts from major brokerages prior to the Fed’s decision:
Rate Cut Estimates (in basis points)
| Brokerage | September | November | December |
|---|---|---|---|
| Goldman Sachs | 25 | 25 | 25 |
| BofA Global Research | 25 | 25 | 25 |
| UBS Global Wealth Management | 50 | 25 | 25 |
| J.P. Morgan | 50 | 50 | 25 |
| Wells Fargo | 50 | 50 | 25 |
| Nomura | 25 | 25 | 25 |
| Deutsche Bank | 25 | 25 | 25 |
| Morgan Stanley | 25 | 25 | 25 |
| Citigroup | 25 | 50 | 50 |
| Barclays | 25 | 25 | 25 |
| HSBC | 25 | 25 | 25 |
| Macquarie | 25 | 25 | 25 |
Note: UBS Global Research and UBS Global Wealth Management operate as separate, independent entities within UBS Group. Wells Fargo Investment Institute is a fully owned subsidiary of Wells Fargo Bank.
