Goldman Sachs has ruled out the possibility of a Fed rate hike in September, estimating that inflation will continue to cool in the coming months. Chief economist Jan Hatzius cited three arguments: weaker-than-expected retail sales, a cooling labor market, and declining monthly inflation. Bitcoin held steady around $63,500, with the market having already factored in reduced rate hike risks. On the CME FedWatch tool, the probability of a 25 basis point increase to the 3.75-4% range was only 30.6% on August 17. The next key date to watch is the release of the FOMC July meeting minutes on August 19, ahead of the rate decision on September 15-16.
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