Fed May Cut Rates in Third Quarter, TS Lombard's Blitz Says

The video discusses the Federal Reserve's plans regarding the balance sheet and quantitative tightening (QT). It highlights the potential end of QT and the introduction of a backdoor quantitative easing (QE) strategy by purchasing Treasurys. The discussion also covers the possibility of a 25 basis point rate cut in Q3 due to economic slowdown and overseas risks. The Fed aims to avoid a recession and maintain economic stability.

What factors are contributing to the expectation of a 25 basis point cut in Q3?

What are the implications of a slowing economy for the Federal Reserve's monetary policy?