Fed/ECB Two paths diverging

The American Federal Reserve Board seems to be getting ready for another rate cut. The European Central Bank is thinking of no such thing. Investors seem to be ignoring the implications of that difference. On the America side, the futures market is close to certain that the overnight rate will be cut by a quarter percentage point at next week’s meeting - to 4.5%. That mostly reflects speeches by the central bank’s voting members talking up the country’s economic challenges while minimising the ...