From CNBC:

The window for interest rate cuts may be closing as Wall Street forecaster Jim Bianco predicts the Federal Reserve will likely stay on hold until next year. Bianco believes the economy is too strong for a rate cut this spring, and Treasury yields are climbing higher, inching closer to a four-month high.

Bianco warned that if the Federal Reserve doesn’t pull the trigger on a rate cut by June, it may not happen until November or December at the earliest, and only if the data warrants it. The CME FedWatch tool showed expectations for a rate cut in June dropping below 50%, with Treasury yields reaching a four-month high.

In a reminder of the inflation reality, Bianco predicts the 10-year Treasury Note yield could hit 5.5% this year, a level not seen since May 2001. Despite the potential for further increases, Bianco believes the backdrop will keep the yield trending higher, which may not be a consensus view in the marketplace.



Read more: Time running out for rate cuts, Jim Bianco warns before Fed meeting