As the Federal Open Market Committee (FOMC) meeting approaches, there is considerable uncertainty regarding the potential rate cut, with speculations about whether it will be 25 or 50 basis points. Goldman Sachs projects a 25 basis point cut, emphasizing labor market risks and suggesting a gradual path for future cuts, while also highlighting the need for economic stability. Meanwhile, U.S. stocks remained flat amid signs of economic resilience, as investors anticipate the Fed's actions and their impact on sectors like financials and consumer discretionary. Fund managers are adopting a cautious stance, favoring defensive sectors and high-dividend assets in light of expected rate cuts, which they believe will benefit utilities and other fixed-income securities. The market's focus is on how short-term trading decisions will play out in response to the Fed’s rate adjustments, with many avoiding preemptive moves until more clarity emerges. Overall, there is a prevailing sentiment of cautious optimism among economic stakeholders regarding the Fed's ability to navigate the current landscape without triggering a recession.