Fed cuts interest rates but inflation remains low, uncertainty ahead with Trump's second term

From Investing.com: 2024-12-19 04:35:00

The U.S. Federal Reserve cut interest rates by -25 bps to 4.25% to 4.50% range, with inflation still below the 2% target. Forecasting two rate cuts for next year, uncertainty looms with Trump’s second term. Fed Watch predicts no rate hike on January 29, 2025, with Fed Fund futures not expecting any cut until June 2025. The FOMC dot plot shows projections for the Fed Fund rate, while technical analysis suggests the Fed may keep rates unchanged for the next couple of meetings as core inflation remains above 3.2%.



Read more at Investing.com: Fed’s Fight Against Inflation Could Stretch Deep Into 2025