Analyst: Regardless of non-farm and PCE data, the Fed may cut interest rates by 25 basis points in November

Wil Stith, a bond portfolio manager at Wilmington Trust, said that if inflation data released on Thursday is firmer than expected and non-farm payrolls on Friday are hotter than expected, "I think they can talk about pausing rate cuts because they have already cut by 50 basis points." Jeffrey Roach, chief economist at LPL Financial, also believes that strong job growth may convince the Fed to pause rate cuts in November. But other Fed watchers said the upcoming data on Thursday and Friday are unlikely to change the Fed's rate cut path. "No matter what the data says, the Fed is already on a path to cut rates by 25 basis points in November, and the central bank is unlikely to change that trajectory," said Jamie Cox, managing partner of Harris Financial Group. "There is no reason to think the Fed won't cut rates by another 25 basis points in November," unless there is a major surprise in the employment report, said Ellen Zentner, chief economic strategist at Morgan Stanley Wealth Management. For now, many traders agree with this assessment. As of last Friday, investors saw a more than 90% chance that the Fed would cut rates by 25 basis points at its November meeting. (Golden Ten)