with many of them now projecting the Fed's first cut will come later in 2024 than they had earlier forecast. In other words, don't hold your breath for a cut at either of its next two meetings, in March and May.
For now, the majority of economists polled by FactSet are forecasting a rate cut from the Fed at its June 12 meeting. If that occurs, it would mark the first interest rate reduction since March 2020, when the central bank moved to stimulate growth as the pandemic was slamming the economy....
Will the Fed Continue to Cut Rates?Tim W Wood CPA
“We do see interest rates coming down across the world economy,” Coulton indicated. From Fitch’s investigation of 20 economies in the global economic outlook, the central banks in 19 of those economies are expected to cut rates in 2024. He suggests that there will be a widespread easing ...
The stock market sank as hopes were dashed for a rate cut in March, but it began to recover as Powell softened some of the sentiment expressed in the Fed’s announcement. “We have six months of good inflation data,” Powell said. “The question really is: that six months of good infl...
TheFederal Reserveis unlikely to cut interest rates this year despite recent turmoil within the banking sector, according to BlackRock strategists, disappointing investors who are heavily betting on such a scenario. "We don’t see rate cuts this year – that’s the old playbook when central b...
If inflation remains persistent, the Fed will not cut rates, and the deterioration of the productive private sector will be worse because all the contraction in monetary aggregates will come from families and businesses. However, if the Fed decides to cut rates, it will be because they see a...
its 10-year bond yields are still low but if rates continue to move up, domestic investors may repatriate capital from abroad. Consequently, the Japanese yen has soared in the past few months, from more than 160 yen to one dollar before Japan's July 2024 rate cut to about 140 yen to ...
"The question now is how far and how fast should the Fed cut rates?" Mark Zandi, chief economist at Moody's Analytics, said in aposton X on Sunday. MORE: Fed Chair Powell says 'time has come' for shift toward interest rate cuts ...
Inflationhas moderated in most global economies, and investors increasingly anticipate the Fed will cut interest rates in the first half of 2024. Lower rates likely would push bond yields lower. Falling bond yields in recent weeks actually have helped fuel gold's rally, as lower yields have redu...