Market Expert Predicts Federal Reserve Will Only Cut Rates Once in 2021 Due to Robust US Economy

Market Expert Predicts Federal Reserve Will Only Cut Rates Once in 2021 Due to Robust US Economy

Federal Reserve Chair Jerome Powell

Jerome‌ Powell, the Chair of ⁤the Federal Reserve in⁢ the⁢ United States, recently addressed the ⁣Senate Banking, Housing, and ⁣Urban Affairs Committee in Washington, DC. Powell ⁢emphasized⁢ the importance of ensuring that inflation gradually decreases towards ⁢the target of 2% before making any policy adjustments.

Economist​ Ed Yardeni believes​ that the Fed⁤ is likely to implement only one interest rate cut this year, dismissing expectations of aggressive rate⁢ cuts due to the strength​ of the US economy. Yardeni‌ also predicted a rise in job market activity despite inflation‌ nearing⁣ the Fed’s ​target.

Investors anticipating significant rate ⁤cuts in response to​ cooling inflation​ may ‌be⁤ disappointed as the robust US economy may ​not warrant extensive policy easing from the Fed. Yardeni, the president of Yardeni Research,⁤ expressed confidence‍ in the economy’s resilience.

For‌ more details, ​you can ‌read ​the full article here.

2024-08-14 ​22:09:46
Source from finance.yahoo.com

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