Posted 2/23/2024, 2:25:00 PM
Goldman Sachs Pushes Back Forecast for First Fed Rate Cut to June, Expects Fewer Cuts in 2024
- Goldman Sachs now sees first rate cut happening in June instead of May, with only 4 total cuts in 2024 instead of previous forecast of 5
- Shift due to recent Fed official comments and January meeting minutes indicating no rush to cut rates
- Fed concerned about cutting too early while economy and inflation remain strong
- Goldman expects core inflation to fall to 2.5% by May and 2.2% by June
- Goldman forecasts rate cuts in June, July, September, and December 2024, followed by 4 more in 2025
