Economist Warns Against Easing Cycle Amid Current Economic Conditions

Reported 3 days ago

Frances Donald, RBC Global's chief economist, discusses the challenges faced by the Federal Reserve regarding interest rate cuts amidst a robust economy with stable unemployment and persistent inflation of around 3%. While a 25 basis point cut is expected, she emphasizes that the economic environment may not support a proper easing cycle, indicating a cautious approach may be necessary. Donald forecasts another rate cut in January but highlights the uncertainty surrounding future monetary policy as the Fed aims for a neutral rate.

Source: YAHOO

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