Tariffs Could Lead to Four Interest Rate Cuts in 2025 – Implications for Stocks

Reported about 14 hours ago

The U.S. Federal Reserve has recently cut interest rates in response to declining inflation and economic uncertainty, with forecasts suggesting four more rate cuts by the end of 2025. However, the introduction of tariffs by President Trump complicates the economic outlook, potentially slowing growth and impacting corporate earnings. While rate cuts typically benefit stock markets by reducing borrowing costs, they often precede market corrections, particularly during times of economic weakness. Investors should remain cautious, as future economic data and trade negotiations will significantly influence stock performance.

Source: YAHOO

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