According to Odaily Planet Daily, the new economic forecast released by the Federal Reserve this week indicates that economic growth will slow down while inflation will rise. Nevertheless, policymakers expect to cut rates later this year.
Among the 19 officials, 7 believe that a rate cut is not necessary this year, 8 believe that two rate cuts are needed, which aligns with investors' expectations for a 25 basis point cut at the September and December meetings. Additionally, 2 expect one rate cut, and 2 expect three rate cuts.
Federal Reserve Governor Waller believes that the earliest rate cut could be in July, while Barkin thinks there is no rush to cut rates. The two have completely different views on the impact of Trump's tariffs, concerning prices, employment, and economic growth.