0554 GMT - There is no visible case for an immediate interest-rate cut by the Federal Reserve, "but such a case could emerge over time," Standard Chartered's Steve Englander and John Davies say in a note. The Iran war has introduced uncertainty on both inflation and activity, yet the U.S. economy is relatively steady, the strategists say. "With both labor supply and productivity growth uncertain, trend growth is hard to pinpoint," they say. "However, we see little indication that the economy is far from potential, so there is time to see if imbalances are emerging." Markets currently price in around 75% probability of a 25-basis-point Fed rate hike in September, according to LSEG. (emese.bartha@wsj.com)

(END) Dow Jones Newswires

June 03, 2026 01:54 ET (05:54 GMT)

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