Huh. And yup
Reposted from
Michael Derby
Fitch: “With the tariff shock estimated to add 1pp to US near-term inflation, we believe the Fed will delay further easing until 4Q25. We now expect the Fed to cut just once this year, but then expect three more cuts in 2026 as the economy slows and tariff levels stabilise.”
Comments
(I know it isn’t permitted under current process, but neither is defying court orders and so much else)
Pity Jay Powell’s impossible job meeting the dual mandate.
If I were betting, it will be no change or a raise in interest rates next.
Inflation is still sticky and current policy will drive it up. Predicting this is short term is another wish.