On September 18, economists at ING said in a report that the downside risks facing the US job market are the main basis for the Federal Reserve's decision to cut interest rates; given recent weak employment data, this rationale is not surprising. Federal Reserve Chairman Powell described the rate cut as a "risk management-based rate cut" because, on the surface, the US economy appears to be in good shape.

But economists point out that a deeper analysis reveals that things are changing, with the most significant change being reflected in the job market. Economists at the firm also said that the Fed's move to raise economic growth and inflation expectations while lowering unemployment expectations suggests that policymakers believe that swift and forceful action in the coming months will bring tangible benefits to the economy. We believe the Fed's eventual rate cuts will be larger than it is currently signaling. (Golden Ten)