Macroeconomic Headwinds: Oil Prices and Inflation Threaten Federal Reserve Rate Cuts
Macroeconomic Headwinds: Oil Prices and Inflation Threaten Federal Reserve Rate Cuts
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Economists at Morgan Stanley predict that persistent inflation and rising oil prices are likely to cause the Federal Reserve to delay its anticipated interest rate cuts, pushing them further into the year as the Fed adopts a cautious approach.
Economists at Morgan Stanley say rising oil prices and persistent inflation pressures could delay anticipated interest rate cuts from the Federal Reserve. Speaking on the firm’s “Thoughts on the Market” podcast, Chief U.S. Economist Michael Gapen says the Fed is likely to proceed cautiously, pushing expected rate cuts further into the year.