Morgan Stanley withdraws this year's Fed rate cut expectations, now expecting two rate cuts in 2027!


Morgan Stanley economists, based on the Federal Reserve's decision and statement on Wednesday, have reversed their expectations for a rate cut this year, now anticipating two rate cuts in 2027, each by 25 basis points.
Led by Michael Gapen, the Morgan Stanley team stated in the report: "The Federal Reserve recently signaled a shift toward a symmetric policy rate guideline and emphasized patience. Therefore, we now expect one rate cut in January and another in March 2027."
This means the Federal Reserve's monetary policy will continue to remain high, and there will be no significant rate cuts in the short term, leading to some policy expectation adjustments in the market.
BSB41%
DOGE4.46%
View Original
post-image
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments
  • Pin