Goldman Sachs Predicts No September Fed Rate Hike Amid Slowing Inflation

Goldman Sachs believes a September Federal Reserve rate hike is highly unlikely due to slowing inflation, leading to a sharp fall in the dollar as prospects for further rate increases fade.

17 Aug, 04:02 — 17 Aug, 12:22

Post Share

Why this matters

The Federal Reserve's interest rate decisions significantly impact the economy, influencing borrowing costs, inflation, and investment. A pause in rate hikes signals a potential shift in monetary policy, affecting businesses, consumers, and global financial markets.

Key entitiesGoldman Sachs Federal Reserve Economists

The Story

What 6 sources agree on, dispute, and miss

What sources agree on

Goldman Sachs predicts the Federal Reserve will not raise interest rates in September
The primary reason for this prediction is slowing inflation
Markets are currently perceived as being too hawkish regarding future rate hikes

Key claims3 agreed · 2 unverified

✓

Goldman Sachs predicts no September Fed rate hike.

agreed·Yahoomorningstarmarketwatchbloomberg

✓

The reason for no rate hike is slowing inflation.

agreed·Yahoobloomberg

✓

Markets are too hawkish on betting the Fed will hike rates.

agreed·bloomberg

A Reuters poll of economists also predicts the Fed will hold interest rates this year.

unverified·Reuters

The dollar fell sharply due to fading prospects of a Federal Reserve rate hike.

unverified·wsj

Where they diverge

Focus of the reporting

Yahoomorningstarmarketwatchbloomberg

Primarily focuses on Goldman Sachs' specific prediction and reasoning

Reuters

Broader view, citing a Reuters poll of economists who also expect no rate hikes

wsj

Focuses on the market reaction, specifically the dollar's sharp fall, as a consequence of fading rate hike prospects

Coverage gaps

The broader consensus among economists beyond Goldman Sachs

ReportedReuters

MissingYahoomorningstarmarketwatch+2

The specific market reaction of the dollar falling

Reportedwsj

MissingYahoomorningstarmarketwatch+2

The Story

Analyzing sources…

Source Diversity

High (59/100)

6 sources33/33

Spectrum spread— 3/5 buckets covered17/33

Far L

Left1

Left (1)

Yahoo

Center4

Center (4)

morningstarmarketwatchReutersbloomberg

Right1

Right (1)

wsj

Far R

Geographic diversity— 2 regions9/34

US5Intl1

Political spectrum

LeftCenterRight

yahoo

morningstar

marketwatch

reuters

bloomberg

wsj

Outlet rating This story

SourceOutletiGeneral editorial lean of the outletStoryiHow they covered this specific storyToneFactuality

Yahoocentercenter-leftneutralMostly Factualstraightforward reporting of financial news

morningstarcentercenteranalytical—analytical, focuses on financial market implications

marketwatch

Coverage leans: balanced

The coverage is largely balanced, focusing on financial analysis and market predictions without significant political framing. Outlets primarily report on Goldman Sachs' economic forecast.

Sources

Showing 6 of 6 sources

ReutersVery High12h ago

Fed to hold interest rates this year, economists say, sticking to their view: Reuters poll - Reuters

Fed to hold interest rates this year, economists say, sticking to their view: Reuters poll Reuters

Read full article →

bloombergHigh19h ago

Goldman Says Markets Too Hawkish on Betting Fed Will Hike Rates

Market bets on Federal Reserve interest-rate hikes are still too aggressive given that inflation in the world’s biggest economy is cooling, according to Goldman Sachs Group Inc.

By Ruth Carson

Read full article →

wsjHigh14h ago

Dollar Falls Sharply on Fading Prospect of Federal Reserve Raising Rates - WSJ

Dollar Falls Sharply on Fading Prospect of Federal Reserve Raising Rates WSJ

Read full article →

marketwatchMostly Factual11h ago

Why Goldman Sachs thinks the Fed won’t be hiking interest rates in September

Goldman expects that the Fed will stand pat — barring any dramatic data.

By Jules Rimmer

Read full article →

morningstar11h ago

Why Goldman Sachs thinks the Fed won't be hiking interest rates in September - Morningstar

Why Goldman Sachs thinks the Fed won't be hiking interest rates in September Morningstar

Read full article →

YahooMostly Factual10h ago

Goldman Sachs: September Fed rate hike very unlikely as inflation slows

Read full article →

Coverage Timeline

First report: bloomberg · 17 Aug, 04:02|Full coverage: 6 · 8h|Window: 8h

Left-leaningCenterRight-leaning

bloomberg17 Aug, 04:02First to report

Goldman Says Markets Too Hawkish on Betting Fed Will Hike Rates

5h later

wsj17 Aug, 09:03

Dollar Falls Sharply on Fading Prospect of Federal Reserve Raising Rates - WSJ

2h later

Reuters17 Aug, 11:08

Fed to hold interest rates this year, economists say, sticking to their view: Reuters poll - Reuters

marketwatch17 Aug, 11:33

Why Goldman Sachs thinks the Fed won’t be hiking interest rates in September

morningstar17 Aug, 11:46

Why Goldman Sachs thinks the Fed won't be hiking interest rates in September - Morningstar

Yahoo17 Aug, 12:22Latest update

Goldman Sachs: September Fed rate hike very unlikely as inflation slows

Story evolution

The narrative evolved from solely reporting Goldman Sachs' prediction to including broader economist consensus and then analyzing market reactions to the fading prospect of rate hikes.

Initial Goldman Sachs ReportAug 17 early morning

Goldman Sachs releases its prediction that the Fed will not hike rates in September due to cooling inflation.

Broader Economist ConsensusAug 17 late morning

Reuters reports on a wider poll of economists aligning with the view of no rate hikes this year.

Market Reaction and AnalysisAug 17 throughout day

Outlets analyze the market's 'hawkishness' and report on specific market reactions like the dollar's fall.

Goldman Sachs Predicts No September Fed Rate Hike Amid Slowing Inflation

Why this matters

The Story

What sources agree on

Key claims3 agreed · 2 unverified

Where they diverge

Coverage gaps

The Story

Source Diversity

Source Diversity

Political spectrum

Sources

Fed to hold interest rates this year, economists say, sticking to their view: Reuters poll - Reuters

Goldman Says Markets Too Hawkish on Betting Fed Will Hike Rates

Dollar Falls Sharply on Fading Prospect of Federal Reserve Raising Rates - WSJ

Why Goldman Sachs thinks the Fed won’t be hiking interest rates in September

Why Goldman Sachs thinks the Fed won't be hiking interest rates in September - Morningstar

Goldman Sachs: September Fed rate hike very unlikely as inflation slows

Coverage Timeline

Goldman Says Markets Too Hawkish on Betting Fed Will Hike Rates

Dollar Falls Sharply on Fading Prospect of Federal Reserve Raising Rates - WSJ

Fed to hold interest rates this year, economists say, sticking to their view: Reuters poll - Reuters

Why Goldman Sachs thinks the Fed won’t be hiking interest rates in September

Why Goldman Sachs thinks the Fed won't be hiking interest rates in September - Morningstar

Goldman Sachs: September Fed rate hike very unlikely as inflation slows

Story evolution

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Why this matters

Story evolution

The Story

What sources agree on

Key claims3 agreed · 2 unverified

Where they diverge

Coverage gaps

Political spectrum

Coverage matrix