Ken Orchard, head of fixed income at Pryce International and fund manager of global multi-class bond strategy and multi-income bond strategy, pointed out that while investors have gradually reduced their expectations for the Federal Reserve to cut interest rates in 2024, the bank still expects the Fed to cut interest rates by 25 basis points at its December meeting after the US election in November. The Fed wants to avoid any sign that its decision to cut rates is influenced by politics, so it may not act at the September or November meeting. Fed officials appear intent on making one or two "precautionary rate cuts" in 2024 to avoid an economic slowdown when inflation cools.