According to the news from Odaily Star Daily, regarding the extent of the Fed's interest rate cut, Goldman Sachs chief economist Hazous stated on Monday, 'I would not rule out the possibility of a 50 basis point rate cut, but a 25 basis point cut is more likely.' Hazous added, 'I believe the Fed has sufficient reasons to cut rates by 50 basis points because the current federal funds rate is simply too high. This is the highest policy rate among the G10 countries. Despite the fact, the US has actually made greater progress in inflation than most G10 economies.' (FX678)

Regarding the magnitude of the Fed's rate cut, Goldman Sachs Chief Economist Hatzius stated on Monday, 'I wouldn't rule out the possibility of a 50 basis point rate cut, but a 25 basis point cut is more likely.' Hatzius added, 'I believe there are valid reasons for the Fed to cut rates by 50 basis points because the current federal funds rate is too high. It is the highest policy rate among the G10 countries. Despite the fact that in reality, the United States has actually made greater progress in inflation than most G10 economies.' (FX678)

Goldman Sachs: The Fed is more likely to cut interest rates by 25 basis points in September.