The odds of further interest rate cuts this year by the Federal Reserve dwindled last week as unemployment fell and more officials say they want to see how new policies from the White House affect the economy.
While Fed officials penciled in two rate cuts this year at their December meeting, economists and Wall Street investors are increasingly skeptical, with some predicting no reductions at all this year. On Friday, economists at Morgan Stanley said they now expect just one rate cut in 2025, and investors also expect just one — in July — according to pricing in futures markets.
