Some companies said the Federal Reserve's recent interest-rate cut will help them secure lower borrowing costs and more efficiently handle liabilities. Others, namely banks and real estate businesses, worried the lower rates would harm net interest income and home sales, especially as some analysts expect the central bank to issue additional cuts in the next quarter.
Goldman Sachs said August 6 they expect the Fed to issue two rate cuts in the fall, adding that the bank will stop cutting when inflation reaches a 2% level ahead of their December meeting.
JPMorgan Chase: "Obviously, the Fed will react to the data they see and I would say what's going on is more important than just what the Fed does. If the Fed's cutting rates and we go into recession, that's not a good rate cut. If the Fed actually raises rates one day because we're booming, that's not so bad."
Fortune Brands Home & Security: "You've got to balance in terms of affordability as well with lower interest rates. There is wage inflation that's increasing, so the consumer is taking home a bit more, especially with the lower taxes. So in terms of overall affordability, those metrics look a lot better this year than they did at this time last year."