Fed Decision Outlook: The interest rate cut in this round of easing by the Fed may be lower than expected.

[Fed Policy Outlook: The Fed's rate cut during this easing cycle may be lower than expected] Franklin Templeton noted on Wednesday that the U.S. economic growth is solid and consumer spending continues, but inflation concerns are likely to lead the Fed to cut rates less than expected, with the forecast for the terminal policy interest rate potentially above 3.5%, higher than the market's general expectation of around 3%. However, U.S. corporate fundamentals are improving, and the default rate remains low, making the outlook for non-investment grade bonds still favorable. ( Jin10 )

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