CoinWorld News reports that Huatai Securities’ research report says that, looking ahead, internal disagreements within the Federal Reserve, as well as Powell remaining as a board member, are pushing up the threshold for the Federal Reserve to cut interest rates. Although the Fed’s March dot plot indicates there will be another rate cut in 2026, considering that three voters have clearly opposed retaining in the statement a “dovish bias” toward further rate cuts, Huatai Securities believes that the threshold for the Fed to cut rates in 2026 has increased, and it does not rule out the possibility that the Fed will remove the rate-cut guidance in the June meeting’s dot plot. Looking ahead, easing tensions in the Middle East will drive oil prices back down; combined with the fading impact of tariffs, US inflation may see a moderate decline in the second quarter. With marginal cooling in non-farm payrolls and a likely seasonal rise in the unemployment rate, it may create conditions for 1—2 rate cuts in the second half of the year, but uncertainty about the rate-cut outlook is increasing.

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