From Forbes: 2024-05-14 15:15:15

The Federal Open Market Committee has not cut interest rates as predicted, with markets now anticipating one or two cuts later in the year. Progress on lowering inflation is slower than expected, but a robust job market is delaying rate cuts. Recent data shows Q1 2024 inflation figures have not improved.

Interest rates currently stand at 5.25% to 5.5%, with expectations of rate cuts dialed back. Federal Reserve Chair Jerome Powell expects patient monetary policy, with potentially fewer rate cuts than previously projected for 2024. Mortgage rates are over 7%, influenced by FOMC actions.

Markets still expect one or two interest rate cuts in 2024, keeping rates relatively high throughout the year. FOMC is likely to adjust rates in September and December, with a 10% chance of no change. Mortgage rates are influenced by the FOMC’s actions, potentially moving lower or higher based on rate adjustments.



Read more at Forbes: What To Expect From Interest Rates In 2024