Fewer Fed Rate Cuts Likely in 2025: What This Means for Banks

The Federal Reserve has started cutting interest rates since September 2024 and has cut interest rates by 75 basis points so far this year. The final rate cut of 25 basis points for 2024 is expected at today’s FOMC meeting.During the first rate cut meeting in September 2024, the Fed signalled four potential rate cuts in 2025. However, recent hotter-than-expected inflation suggests prices are becoming sticky, making it harder for inflation to decrease. This has led to assumption that the Fed may scale back i ...