J.P. Morgan: Fed won't cut rates urgently, 50 bps cut possible in September

After last Friday's U.S. non-farm payrolls report triggered a major market, JPMorgan Asset Management said its basic forecast scenario is still a soft landing for the U.S. economy, while not expecting the Federal Reserve to cut interest rates in an emergency before the regular meeting. Kim Crawford, fixed-income portfolio manager at JPMorgan, said there may be some "noise" in the report and subsequent releases could show the labour market slowing in a very gradual manner. "If there is no overall improvement in the labour market by the time of the September Fed meeting, then a 50 basis point cut could be an option from a risk management perspective," she said.