Economists Debate Outlook for Interest Rates as Forecasts Shift

• Interest rate traders predicted 6+ Fed rate cuts in 2024, despite Fed's lower forecast of 3 cuts • Strong economic data has now led to prediction of only 2 or fewer 2024 rate cuts • Higher rates mean more income but also higher costs for loans like mortgages • JPMorgan CEO Jamie Dimon warns rates could rise to 8% or more, implying economic uncertainty • Harvard economist Larry Summers says rates should rise, not fall; sees 15-25% chance of a Fed hike