[UBS Predicts Fed May Cut Rates by 75 Basis Points in Q1 Next Year] Hu Yifan from UBS Wealth Management stated that the Federal Reserve is expected to cut interest rates by 75 basis points in the first quarter of 2026, prioritizing concerns over labor market weakness. If labor market weakness intensifies, the rate cut could reach 200-300 basis points, with interest rates potentially dropping to 1.0-1.5%.