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(goldman Sachs)us To Cut Interest Rates By .75%

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Goldman Sachs Says Fed Will Cut Rate to 4.5 Percent in 2007

By Brian Swint

Aug. 17 (Bloomberg) -- The U.S. Federal Reserve will cut the overnight target interest rate to 4.5 percent from the current 5.25 percent this year, Goldman Sachs Group Inc. economists forecast in a research note today.

The Fed will reduce the rate by at least 0.25 point on or before policy makers meet on Sept. 18, according to the note.

To contact the reporter on this story: Brian Swint in London at

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