💸 The Fed's balance sheet shrank by $33.4 billion in one week!
▪️ Bowman, Fed Chairman:
- There are risks of renewed inflation growth. The December rate cut should be the last one.
▪️ Harker, Fed Chairman:
- It will take longer (than expected) for inflation to fall to 2%, the Fed should take a break.
- The Fed will only issue CBDCs at the direction of Congress.
▪️ Schmid, Fed Chairman:
- The Fed is unlikely to be able to reduce inflation to the target 2% before 2026.
▪️ Reuters:
- Fed chairmen are concerned that Donald Trump's policies could delay the fight against inflation.
▪️ Bank of America:
- The Fed's monetary easing cycle is over. We expect an interest rate hike.
▪️ Citi:
- We forecast a Fed rate cut in May.
❗️Market expectations ( #FED ):
- January 29: PAUSE.
- March 19: PAUSE.
- May 7: PAUSE.
- June 18: a decrease of 25 bps to 4.00-4.25%.
- July 30: PAUSE.
- September 17: PAUSE.
- October 29: PAUSE.
- December 10: PAUSE.