Inflation Jump Cools Talk of Imminent Fed Rate Cuts

• Inflation rose more than expected in March, reducing the odds of a Fed rate cut in June and spooking markets • Some Fed officials have floated the possibility of not cutting rates at all this year or even raising rates if inflation persists • NY Fed President Williams still believes rate cuts are appropriate later this year but won't specify timing • March jobs report showing strong hiring is another reason for the Fed to be patient on rate cuts
• Economists are pushing back forecasts on timing of first rate cut, with some now expecting only 1 cut in December rather than several