A dot plot showing tighter policy through the end of 2023 could force investors at present betting on looser monetary policy to adjust their positions. Fed policymakers scale back to one rate cut in 2024;
The dot plot was invented in late 2011, at a time when fed officials were considering how to prepare markets for the shift they hoped to make away from the. As of last month, that had already happened.
Given That Markets Anticipate Just One Rate Cut This Year, The Greenback May Pullback In The Event The Fed Trims Its Rate Cut Expectations From Three To Two For 2024.
In december, the median fed forecast called for three rate cuts in 2024.
Despite The Cautionary Tone From Fed Officials, Markets Expect The Central Bank To Cut Aggressively In 2024.
Officials expect the fed funds rate to drop from 5.1% in 2024 to 4.1% in 2025, and then to 3.1% in 2026.
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Given That Markets Anticipate Just One Rate Cut This Year, The Greenback May Pullback In The Event The Fed Trims Its Rate Cut Expectations From Three To Two For 2024.
How will fresh data affect.
Fed Maintains Interest Rates Unchanged Between 5.25% And 5.5% At March Meeting.
The federal reserve signaled wednesday it would lower interest rates three times this year, consistent with its previous december.