On [date], the Federal Reserve announced a reduction in the target range for the federal funds rate to 1.75% to 2.00%, a cut of 25 basis points, in line with market expectations. Previously, Fed officials had hinted in the September monetary policy statement that 25 basis point rate cuts would be made at both the October and December monetary policy meetings.

Although the Federal Reserve cut interest rates as expected in September, as the October monetary policy meeting approaches, the market is increasingly reducing expectations for a rate cut by the Fed at its final meeting this year.

On the date, Neel Kashkari, President of the Federal Reserve Bank of Minneapolis, once again "hawked." Kashkari stated that he would pay attention to the upcoming inflation data to determine whether another rate cut at the Fed's meeting in September would be appropriate. "Inflation remains a key factor influencing the Fed's future monetary policy path. If we see an unexpected rise in inflation between now and September, this could cause us to pause rate cuts."

Kashkari reiterated that the current U.S. inflation rate has not yet fully declined to the target set by the Federal Reserve. He said that given the higher-than-average pace of housing inflation, it may still take one to two years for price increases to reach this target.

On the same day, Loretta Mester, former president of the Federal Reserve Bank of Cleveland, also stated in a speech that the number and extent of future interest rate cuts by the Federal Reserve may be less than previously anticipated. Several market research institutions have already reduced their expectations for monthly interest rate cuts by the Federal Reserve.

The latest adjustments in forecasts have been made by institutions including Deutsche Bank and TD Bank, among others. Deutsche Bank analysts predict that the Federal Reserve may slow down or even pause rate cuts. TD Bank analysts also believe that the Federal Reserve may choose to pause rate cuts as it assesses the uncertainties in inflation and economic growth.

JPMorgan Chase, Nomura Securities, and other institutions have significantly reduced their expectations for the Federal Reserve's rate cuts next year. Nomura Securities economists, in their latest forecast, adjusted the expected number of rate cuts by the Federal Reserve from once to twice. Analysts from JPMorgan Chase pointed out that "policy uncertainty" will prompt the Federal Reserve to cut interest rates once per quarter starting from next January, rather than the previously expected rate cuts at each monetary policy meeting.

Currently, according to the "FedWatch Tool" from the Chicago Mercantile Exchange, the market's latest expectation for the Federal Reserve to maintain its current stance in the month is about %, an increase of over percentage points compared to a week ago.