State Street Global Advisors Bets on 150 Basis Points of Fed Rate Cuts This Year, More Than Double Market Expectations

• State Street Global Advisors bets Federal Reserve will cut interest rates by 50 basis points as soon as June • Expects a total of 150 basis points in rate cuts by end of year, over 2.5 times what markets are pricing • Thinks economy is more fragile than it appears despite resilient data • Sees November US election driving Fed to make larger rate cuts than expected • Remains overweight US stocks and long-duration bonds with preference for Treasuries