Goldman Sachs(US:GS) Feng Huang Wang·2025-08-14 01:17Group 1 - Goldman Sachs expects the Federal Reserve to cut interest rates three times this year, each by 25 basis points, and two additional cuts in 2026, lowering the terminal rate to between 3% and 3.25% [1] - The consumer price index (CPI) data for July showed a slight increase, with a month-on-month rise of 0.2%, aligning with economists' expectations, while gasoline prices fell by 2.2% [2][3] - Following the release of weak non-farm payroll data, Goldman Sachs indicated that the adjustment in employment growth data was the most significant in 57 years, suggesting a potential reduction in monthly job growth expectations by 45,000 to 80,000 [3] Group 2 - Market expectations for a 25 basis point rate cut in September have risen to 93%, with a 7% chance for a 50 basis point cut [4] - Traders anticipate a total rate cut of approximately 65 basis points this year, an increase from previous predictions of around 60 basis points [5] - U.S. Treasury Secretary Yellen has advocated for a 50 basis point cut, citing recent weak employment data as a reason for a more significant reduction [6][7]