The global interest rate cut cycle has ended: in May, the number of central banks raising and cutting interest rates was equal, marking the first time since early 2021.

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Mars Finance News, June 21 — Global monetary policy is approaching a turning point. Data shows that among the 52 central banks included in the statistics, the number of institutions raising and cutting interest rates in May was both 26, marking the first time in nearly two years that they are equal, after a period where the number of easing central banks exceeded those raising rates. The last time a balance was observed was in early 2021, followed by a three-year tightening cycle. This indicator peaked in mid-2022, when there were 28 more central banks raising rates than cutting. Last week, the European Central Bank announced a 25 basis point rate hike to 2.25%, the first increase since September 2023; this Tuesday, the Bank of Japan also raised rates by 25 basis points to 1.0%, the highest level since 1995. A new global tightening cycle appears to be beginning.
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