Overview

• The Federal Reserve is unlikely to cut interest rates in 2024 due to a strong US economy and persistent inflation pressures.
• Economists and investors had initially anticipated up to six rate cuts this year, but recent data and statements from Fed officials suggest otherwise.
• Inflation remains a key concern, with underlying measures of inflation, including food prices, continuing to rise.
• The US labor market remains robust, with low unemployment and wage inflation contributing to the economy's strength.
• Despite some investors expecting a rate cut by mid-year, the majority of economic indicators point towards sustained higher interest rates.