Fed likely to postpone first rate hike to January

U.S. economic data have disappointed over the past month. Industrial and export data indicate a slowdown and retail sales and employment growth have also eased. 

While long the bright spot in a weak global economy, the US has dimmed of late. Nevertheless, the US slowdown comes from a position of strength and so is not particularly alarming at this time. 

"However, we do expect slower growth to cause the Federal Reserve to postpone its first rate hike. We are now pencilling in the first rate hike for Q1 16 rather than December this year - albeit the latest Fed statement was more hawkish than what we had expected", says Danske Bank.