Fed Expected to Pause Rate Hikes, Potentially Cut Rates in 2024 as Inflation Cools and Mortgage Rates Fall

The Fed is likely done with interest rate hikes and may cut rates starting in 2024, according to MBA chief economist.

Inflation could fall to 2% without more Fed rate hikes as fiscal policy weighs on mortgage rates.

10-year Treasury rate expected to drop below 4% by year end from recent high of 4.8%.

30-year mortgage rates forecast to begin trending down over next 2 years after peaking at 7.57% recently.

Another debt limit crisis could threaten U.S. credit rating and put pressure on mortgage rates.