On February 7th, Federal Reserve Governor Logan stated that the choice for 2025 can be attributed to either resuming interest rate cuts “as soon as possible” or maintaining interest rates unchanged “for a considerable period of time”. If the US job market deteriorates, the Federal Reserve may cut interest rates. The labor market maintaining a strong state may mean that policy interest rates are approaching neutral levels. 2% inflation is not a necessary condition for FOMC to cut interest rates. Major central banks must anchor inflation expectations. Changes in trade policies may continue to affect the economy.
Scan code to share