Bank of America: Expect the Federal Reserve to raise interest rates three times this year

BlockBeats news: On June 22, Bank of America currently expects the Federal Reserve to raise interest rates three times this year, the latest sign that Wall Street is preparing for a more aggressive rate hike by the Fed.

The bank’s economists previously expected the Fed to keep interest rates unchanged this year. The reason for its adjusted outlook is that economic data has been strong, and the Fed’s communication has shifted toward a hawkish tone, suggesting the Fed will take a more proactive approach to tackling inflation. Bank of America’s forecast for three rate hikes is still a minority view: currently, only 19% of market investors expect three rate hikes, even though this figure has risen from 3% a week earlier. Investors believe two rate hikes this year are the most likely outcome. (Jin10)