Goldman Sachs: Still expects the Fed to cut rates twice, but the timing is uncertain.

Lindsay Rosner, Head of Multi-Asset Fixed Income at Goldman Sachs, said, "Signs of weakness in the labor market remind the Fed that delaying rate cuts could come at a cost, although short-term policy remains heavily influenced by the ongoing Middle East conflict. Developments in Iran and their potential inflationary consequences have somewhat overshadowed the U.S. employment situation, making the path to potential policy normalization less clear. We expect the Fed to eventually complete the remaining two 'normalization rate cuts' to bring rates back to neutral, but given the current uncertainty, the exact timing is still difficult to determine." (Jinshi)