Recently, the U.S. financial community has shown a strong interest in the Fed's interest rate decision in September. Former Chief Economist Ethan Harris from Bank of America Securities shared his insights on this.

Harris believes that the Fed may face a tricky situation before the September meeting. If the market has fully digested the expectation of a rate cut before the meeting, the Fed may find it difficult to maintain the current interest rate level. This is because the Fed generally does not like to surprise the market on decision days to avoid causing unnecessary market volatility.

In response to this situation, Harris predicts that Fed Chairman Powell may take preventive measures. He believes that Powell is likely to use the upcoming Jackson Hole annual meeting as a platform to hint at the uncertainty of a rate cut in September through his speech, in order to adjust market expectations.

This analysis reflects the complex situation currently faced by U.S. monetary policy. On one hand, the Fed needs to address inflationary pressures; on the other hand, it must also consider the state of economic growth and the job market. In this context, every decision made by the Fed is closely watched, as it not only impacts the U.S. economy but also has far-reaching effects on global financial markets.

As the September Fed meeting approaches, market participants will closely monitor any signals from Fed officials to better predict possible policy directions. Regardless of the final decision, this will undoubtedly be an important focus for financial markets in the second half of this year.