Fed Rate Decision in September Too Close to Call, Impax Warns

Impax Asset Management is warning that the Federal Reserve's September interest-rate decision is too close to call, making it difficult for investors to predict the outcome. According to Impax, there is a 50-50 chance of a rate hike in September.

The firm also expects increased volatility in the U.S. Treasury market around upcoming inflation and employment data releases. This could influence the Fed's monetary policy decision.

Impax notes that changes may emerge in the U.S. Treasury Department's long-term bond buyback policy, potentially leading to an increase in the size of these purchases and more frequent operations.