The Federal Reserve's rate cut may exceed market expectations, leading to a short-term return of loose trading in the dollar

According to Jinshi reports, the CICC research report states that the Federal Reserve's final rate cut may exceed market expectations, and the dollar's easing trade may return in the short term. The research report points out that the Federal Reserve is unlikely to "taper" in the short term, but the threshold for "expanding the balance sheet" and quantitative easing has risen, which may be achieved through increasing the rate cut and the issuance of short-term Treasury bonds to realize monetary-fiscal coordination. The steepening of the U.S. Treasury yield curve will benefit U.S. bank stocks.