UBS are citing the US slowdown to potentially arrive sooner than expected

  • Which, they say, opens the door to a Fed funds rate cut in October.

(Federal Open Market Committee meeting is October 29 and 30)

Citing trade tension with China - a substantial shock to the economy - tariffs causing a slump in private demand

  • tarfifs weakening employment in manufacturing, retail

Following that the bank expects further cuts in:

  • January, March and June 2020
  • And also say that due to the run of recent data there is risk is to the downside for the Fed to cut more.