Fed rate cuts: September could be the first cut, economist says

March's Personal Consumption Expenditures (PCE) data was consistent with expectations, reporting a 0.3% month-over-month rise. However, it slightly exceeded projections on a year-over-year basis, coming in at 2.7%. UBS Global Wealth Management Senior US Economist Brian Rose joins The Morning Brief to analyze how these figures could influence the Federal Reserve's rate cut outlook.
Rose acknowledges that the current inflation data "has been too high" for the Fed to embark on monetary easing. He identifies "the big problem for the Fed" as core services, factors tied to robust demand and wage growth: "This is where they need to see disinflation," he says. In March, the core PCE inflation figure stood at 2.8%.
While Rose predicts the Fed could initiate rate cuts in September, he cautioned that if inflation data persists at elevated levels, "it could get pushed back even further."
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[@alucard4860]

Right. Economists claimed rate cut how many times? So funny I forgot to laugh.

[@jeffreyoa8628]

Yeah it’s odd how they will produce the same meaningless content. There’s little value to their predictions

[@ghosthdel3098]

@@jeffreyoa8628 My dad works as an assistant director in one of he top 4 banks. He said last last week one of the guys from the feds came to his office and had 2 hours meeting with all the CEOs and some of the directors. His boss told him that fed guys told them that rate will not be cut until fall. Anyway, who knows.

[@sukarno]

A cut right before the US election? I’ll take this news with a table spoon of salt.

[@JackSmith-fy8qw]

First June, now September? Yeah I don't buy it.

[@mikellblackonblackluv645]

good information, thank you!

[@lokesh303101]

Democracy is all about Economic Data.

[@marlisamirabal]

A crash and bullish market provides equal high-yield potential, it's all about information and strategy application, I've seen folks make huge 7figure profit in a crashing market and pull it off much easily in a bull market Unequivocally the crash/recession is getting somebody somewhere rich.

[@TitaAnderson]

On occasion you can beat the market with blind luck, but I wouldn't depend on it. Having a science background there is a saying, 'Luck favors the informed', I've found it to be true, allowed me in great part to retire early

[@Cammimullens]

No doubt, having the right plan is invaluable, my portfolio is well-matched for every season of the market and recently hit 100% rise from early last year. I and my CFP are working on a 7 figure ballpark goal, tho this could take till Q3 2024.

[@softy-bf5eg]

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[@Cammimullens]

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[@softy-bf5eg]

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[@user-yy9hk9od9u]

Inflation will need to drop by then.

[@C-130-Hercules]

No Rate Cuts 7% Before 4% Bet!

[@lawyer1165]

The case for cutting interest rates in September contains bottles of cheap wine.

[@tracybrovan3997]

The FED will cut interest rates this year EVEN IF inflation keeps going up for one reason = election year. This is the truth like it or not.

[@fredpotgieter7329]

Got the gov spending a trillion dollars every 100 days .where is the lack of dollars flooding the economy .where and how is dollars are drying up .trump close the federal government complex.maybe 2% trump getting for balance budget .

[@tnnsboy18]

Boomers really screwed over the younger generation... i hate it here :(

[@user-mb4xy6tb4l]

Blame whoever you want for the short comings of an economic model. The only way out of inflation is people like YOU stop buying things you DONT need.