Will Today's Fed Rate Cut be the Last Until Summer 2026?
The Federal Reserve is expected to cut interest rates by a quarter of a percentage point, lowering the federal funds rate to a range between 3.75% and 4%.
Nigel Green, CEO of deVere Group, says today's cut will likely be the last for some time. What matters is Chair Jerome Powell's tone, he says. We expect him to sound more dovish, with the Fed going to shift from acting to waiting.
Green explains that the reason for this shift lies in the changing balance of risks, with inflation easing but growth slowing sharply. Headline CPI is at 3% and core at 3%. He notes that there might not be another cut until spring or even summer 2026.
Author's summary: Fed rate cut expected to be last until 2026.
- Federal Reserve to cut interest rates by a quarter of a percentage point
- Federal funds rate to range between 3.75% and 4%
- No expected cuts until spring or summer 2026