Fed minutes warn rates could remain high 'for some time'

Only three 25bps cuts in 2024

Officials from the Federal Reserve have warned that interest rates could remain high “for some time”, even as predictions of rate cuts remain pervasive throughout the market.

In the minutes from the Federal Open Market Committee last month, the central bank dampened market hope by forecasting only three 25bps cuts throughout the year, while futures markets predict six. UK economy teeters on recession following revised ONS figures Committee members "reaffirmed that it would be appropriate for policy to remain at a restrictive stance for some time until inflation was clearly moving down sustainably toward the committee's objective", the minutes said.  However, the Fed still expressed concerns about the risks that "overly restrictive" monetary policy may p...