Will Today's Fed Rate Cut be the Last Until Summer 2026?
The Federal Reserve is expected to cut interest rates by a quarter of a percentage point, lowering the federal funds rate to a range between 3.75% and 4%.
According to Nigel Green, CEO of deVere Group,
today's cut will likely be the last for some time. He explains that the focus will be on Chair Jerome Powell's tone, expecting him to sound more dovish, with the Fed shifting from acting to waiting.
- Inflation has eased, with headline CPI at 3% and core at 3%.
- Growth has slowed sharply, affecting the balance of risks.
Green predicts that there might not be another cut until spring or even summer 2026.
Author's summary: Fed rate cut expected to be the last until 2026.