Analyst: Fed May Pause Policy Adjustments, Expected to Cut Rates Three Times Next Year

BlockBeats News, December 4th: Stifel economist Lindsey Piegza stated that the Federal Reserve is about to pause its policy adjustments, as President Bullard's recent remarks reflect a tightening stance in this regard. Federal Reserve officials are increasingly focused on whether economic data exceeds expectations, rather than just on strong economic performance.

If the economy continues to demonstrate significant resilience next year, the Federal Reserve may face challenges regarding potential rate cuts. It is expected that there will be three more rate cuts next year to bring rates closer to a neutral level, lowering rates to 3.75% by the third quarter, which is a reasonable neutral level. As for this year, if December's data meets expectations, it is believed that the Federal Reserve will proceed with a third round of rate cuts. (Jinshi)