The Federal Reserve is expected to stay on hold in the coming meetings, Amundi Investment Institute says in its midyear outlook. "With the monetary policy stance now broadly back to neutral, we think it is most likely that the Federal Reserve will stay on hold in coming meetings," it says. The risk of rate hikes would, however, increase if higher energy costs feed into broader prices and economic growth accelerates, Amundi says. "We expect a resumption of the disinflationary trend in 2027 to allow the Fed to cut rates next year," it says. (emese.bartha@wsj.com)
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Fed Expected to Stay on Hold in Coming Months, Rate Cut Possible in 2027 — Market Talk
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The Federal Reserve is expected to stay on hold in the coming meetings, Amundi Investment Institute says in its midyear outlook. "With the monetary policy stance now broadly back to neutral, we think it is most likely that the Federal Reserve will stay on hold in coming meetings," it says. The risk…