Fed Suggests Rate Cuts Remain More Likely Than Not

ING Economic and Financial Analysis5.24K FollowersFollow5ShareSavePlay(7min)CommentsSummaryThere is nothing particularly surprising from the Federal Reserve outcome. A "no change" decision with a target range of 3.5% to 3.75%, with only Stephen Miran dissenting by voting for a 25bp cut.They have revised up GDP growth a touch for the fourth quarter of 2026 to 2.4% year-on-year versus 2.3%, while their fourth quarter 2027 GDP growth prediction is now 2.3% versus 2.0%.It looks as though the Fed is adopting a similar stance to 2021, when they believed inflation would be “transitory” during a supply shock, and they needn’t raise rates. Richard Drury/DigitalVision via Getty Images By James Knightley, Chief International Economist, US and Francesco Pesole, FX Strategist Fed believes in the productivity boom There is nothing particularly surprising from the Federal Reserve outcome. A "no change" decision with a target range ofThis article was written byING Economic and Financial Analysis5.24K FollowersFollowFrom Trump to trade, FX to Brexit, ING’s global economists have it covered. Go to ING.com/THINK to stay a step ahead. We’re sorry we can’t reply to individuals' comments.Content disclaimer: The information in the publication is not an investment recommendation and it is not investment, legal or tax advice or an offer or solicitation to purchase or sell any financial instrument.This publication has been prepared by ING solely for information purposes without regard to any particular user's investment objectives, financial situation, or means. For our full disclaimer please click here.