Goldman Sachs: The Fed's hawkish camp has been appeased; future easing depends on the labor market.

Goldman Sachs analyst Kay Haigh stated that the Federal Reserve has reached the end of its "precautionary rate cut" phase. She believes, "The next responsibility lies in labor market data weakening further to justify additional near-term easing. The 'hard dissent' from voting members and the 'soft dissent' in the 'dot plot' highlight the Fed's hawkish camp, and the reintroduction of language regarding the 'degree and timing' of future policy decisions in the statement is likely intended to reassure them. While this leaves room for future rate cuts, the weakness in the labor market must reach a high threshold."