Goldman Sachs Reverses 'September Last' Fed Rate Cut Outlook

Goldman Sachs has revised its outlook, projecting that the U.S. Federal Reserve will raise interest rates again in October following a 0.25% hike in September. The firm had previously anticipated only one rate increase this year, but adjusted its forecast after the Fed demonstrated stronger-than-expected commitment to addressing inflation.

In a report released on October 17, Goldman Sachs stated that the Federal Reserve is likely to raise rates by another 0.25 percentage points at the October FOMC meeting, raising the target range to 3.75%-4.00% annually.