From CNBC: 2025-04-04 09:12:00

Traders predict Fed will cut rates four times this year, fearing recession due to Trump’s tariffs. Odds of five cuts at 37.9%. Markets also betting on 32% chance of four cuts. Implied odds of aggressive cuts rose amid global trade fears. Inflation concerns may complicate Fed’s decision-making.

Economist warns Fed may not cut rates this year due to inflation concerns. Tariffs could push core inflation above 3%. Uncertain economic growth may prompt rate cuts to avoid recession. Tough decisions ahead for Fed in managing inflation while supporting economic growth.

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Read more: Traders betting Fed will cut rates at least 4 times this year to bail out economy