Bank of America: Expects the Federal Reserve to start cutting interest rates in September, with two rate cuts this year

ChainCatcher News, U.S. Bank economists said in a report that the Federal Reserve may keep interest rates unchanged next week, while expecting two rate cuts to begin in September this year.

The bank stated, "Upcoming data should convince the Federal Reserve that the economy is cooling, but it needs more evidence of inflation slowing down before it can cut rates." This prediction aligns with market pricing based on CME data. Meanwhile, the European Central Bank cut rates as expected today, but some analysts sensed a hawkish tone in the central bank's communication, indicating that there may not be further rate cuts in the future.