Traders Anticipate September Rate Cuts as US Inflation Cools

Reported 1 day ago

Federal Reserve policymakers are expected to maintain their current interest rates amid slowing inflation and cautious consumer behavior. Recent data shows a modest 2.1% year-over-year increase in the Personal Consumption Expenditure price index, suggesting inflation is stabilizing near the Fed's 2% target. However, analysts believe increased tariffs may impact future inflation trends, leading traders to expect the Fed to start gradually cutting rates by September, lowering them to between 3.75% and 4.0% by year-end.

Source: YAHOO

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