According to Bank of America’s global research division on May 9, the Federal Reserve will delay interest rate cuts until the second half of 2027, citing elevated inflation and strong employment growth. The bank previously forecast rate cuts in September and October 2026. Economists at BAC stated in a Friday report to clients: “We no longer expect the Federal Reserve to cut rates this year.” The revision reflects shifting economic conditions and multiple risk factors affecting monetary policy decisions.
Related News
Fed Survey Shows AI Concerns Rising Across Markets, Credit and Jobs
US Credit Card Debt Hits Record $1.33 Trillion as Savings Rate Crumbles
Federal Reserve rate outlook for 2026: Divergence intensifies and a longer policy waiting period