Nomura: Powell's immense influence will reduce the magnitude of subsequent Fed rate cuts

ChainCatcher message, due to the non-farm payroll data released on Friday exceeding expectations, the market has largely ruled out the possibility of a continued 50 basis point rate cut, and economists have expressed their views.

Aichi Aemiya, an international analyst at Nomura Securities, stated that the Federal Reserve may reduce the rate cut to 25 basis points in the policy meetings in November and December.

Aemiya noted that Federal Reserve Chairman Powell also demonstrated his "significant influence in the decision-making process of the Federal Open Market Committee (FOMC)." He mentioned that Powell's speech at Jackson Hole at the end of August was relatively dovish, and subsequently, the FOMC further cut rates by 50 basis points in the September meeting, "Powell's opinion dominated the committee."