Zhongxin Securities Mingming: It is expected that the Federal Reserve will cut interest rates by an additional 50 basis points within the year.

On the morning of September 18th Beijing time, the Federal Reserve announced after a two-day monetary policy meeting that it would cut its federal funds rate target range by 25 basis points to between 4.00% and 4.25%, in line with market expectations. Ming Ming, chief economist of CITIC Securities, said in an interview with Shanghai Securities News that he expects the Fed to cut interest rates by a total of 50 basis points by the end of the year, with US policy rates likely to be between 3.5% and 3.75%. Ming Ming believes that historical experience shows that under the Fed's loose monetary policy, global asset classes often benefit from the expansion of liquidity and perform well, with equity assets represented by A-shares likely to benefit the most during a rate cut cycle; bond assets represented by Chinese bonds often show a bull trend following policy rates.