Goldman Sachs(US:GS) Sou Hu Cai Jing·2025-12-17 00:02Core Viewpoint - Goldman Sachs anticipates that the Federal Reserve may be more willing to lower interest rates next year than previously assumed by the market [1] Group 1: Federal Reserve's Stance - Josh Schiffrin, Chief Strategist and Head of Financial Risk at Goldman Sachs, indicates that recent comments from Powell signal growing internal concerns within the Fed regarding the sustainability of employment conditions [1] - The Fed's current position remains to keep interest rates unchanged while assessing upcoming data, but the threshold for additional rate cuts may be lower than market concerns prior to the meeting [1] Group 2: Employment Reports and Economic Outlook - Upcoming employment reports will be crucial in determining whether the Fed will resume a more accommodative policy, with particular focus on the unemployment rate rather than the overall growth in non-farm payrolls [1] - Goldman Sachs projects that the easing cycle could extend until 2026, with the federal funds target rate potentially falling to 3% or lower, reflecting expectations of continued moderate inflation and increased slack in the labor market [1]