Fed Holds Rates Steady, Forecasts Gradual Cuts Starting 2024 to Bring Inflation Down
- Fed holds interest rates steady at 5.25%-5.50%, signaling 3 rate cuts of 0.25% each in 2024
- Forecasts inflation falling to 2.4% in 2024 and 2.2% in 2025
- Tweaked language leaves room for future rate hikes if needed
- Acknowledged economy likely at or near peak rates for this cycle
- Inflation has eased over past year but remains elevated from 2% target