- Analytics
- News and Tools
- Market News
- Fed: Improved inflation backdrop will allow the FOMC to start cutting rates gradually around mid-year – ANZ
Fed: Improved inflation backdrop will allow the FOMC to start cutting rates gradually around mid-year – ANZ
Economists at ANZ Bank maintain their forecast that the FOMC will start to cut interest rates around mid-year and currently have July pencilled in.
Caution warranted but still on track to cut mid-year
We remain of the view that unless the annual trend improvement in core PCE inflation stalls or starts to reverse, the improved inflation backdrop will allow the FOMC to start cutting rates gradually around mid-year.
We currently have July pencilled in for the start of the rate cutting cycle. We also think the FOMC needs to be patient and cautious in advancing forward guidance around the expected timing of rate cuts. We will be watching incoming data closely and fine tune our forecast path accordingly.
We expect the target rate will be cut by 100 bps this year and 200 bps over the cycle. We expect cuts to occur in 25 bps increments and end in June 2025.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
