Fed Rate Cut Expectations Dim as Inflation Pressures Rise

Reported 1 day ago

Market data suggests that the Federal Reserve may not cut its benchmark lending rate until late autumn due to ongoing inflation pressures. A strong jobs report in December, showing 256,000 new hires, has negatively impacted Treasury bonds and stock markets, pushing yields higher. Investors now anticipate a prolonged 'higher for longer' rate environment, complicating the scenario for potential rate cuts while also introducing uncertainties around future economic policies under the new administration.

Source: YAHOO

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