Controversy
Status:Open
Will the Federal Reserve Cut Interest Rates in 2026?
UNLIKELYLIKELY
Claims
Reuters"There was no clear consensus where rates would end the year, but 71 [of 103] economists still expected at least one cut."Apr 23, 2026
JPMorgan"It will then likely continue holding rates steady for the rest of 2026, before hiking 25 basis points (bp) in the third quarter of 2027."Jan 26, 2026
FUTU HK"With the Iran conflict unresolved, oil prices remaining high, and persistent inflationary pressures, the conditions required for the Fed to cut rates have yet to emerge."Apr 23, 2026
Bloomberg"In the new [Bloomberg] survey, conducted March 6-11, just after the outbreak of hostilities in the Middle East, respondents said they expect [rate cut] moves in June and October."Apr 23, 2026
Michelle Bowman"I want to see a little bit of recovery there. But, of course, I've written three cuts in for before the end of 2026 to hopefully support the labor market."Mar 20, 2026
Goldman Sachs"Outside economists and business leaders broadly agree that while easing geopolitical tensions could pave the way for rate cuts in 2026, policymakers risk moving too quickly if inflation tied to energy prices remains elevated."Apr 21, 2026
PBS NewsHour"The U.S. Federal Reserve expects to cut rates once this [2026] year after leaving rates unchanged for a second straight time Wednesday."Apr 23, 2026
Wells Fargo"Against the backdrop of a noticeable but likely transient inflation bump and elevated uncertainty, we believe that the balance of risks has shifted to incentivize patience from the Fed."Apr 23, 2026
Nathan Sheets“With Iran and the oil shock, I think the committee’s room for maneuver here is pretty limited.”Mar 18, 2026
Bank of America"We [BofA] still expect cuts this year given the Fed's bias to look through supply-driven inflation, little signs of wage pressures, and political pressure."Apr 10, 2026
CNBC"Traders in the futures market shifted the probability of a rate increase by the end of 2026 to 52% on Friday morning."Apr 23, 2026
Lindsay Rosner“Despite higher inflation forecasts the FOMC retains an easing bias, with a narrow majority on the committee expecting cuts to resume this year.”Mar 19, 2026
Citigroup"We continue to think signs of a weakening labor market will result in [rate] cuts later in the year. But the timing of upcoming data suggests a later start to rate cuts than we had previously been expecting."Apr 23, 2026
FinancialContent"For now, the "Zero Cut" reality is the new North Star for global finance."Apr 02, 2026
CME FedWatch"The CME FedWatch Tool indicated that markets priced in a 99.5% probability that the Federal Reserve would keep interest rates unchanged at 3.50%–3.75% at the April 29, 2026, meeting, with only a 0.5% chance of a hike."May 23, 2025
The Wall Street Journal“We see scope for Fed rate cuts in 2026 (around 63 basis points) to be priced out, especially if U.S. economic momentum holds up and productivity growth surprises to the upside, sending yields and the dollar higher."Apr 22, 2026
Darla Mercado"The Fed’s outlook still calls for one cut this year, even as oil prices have surged."Mar 19, 2026
Indradip Ghosh"Around two-thirds of economists, 63 of 96, expected the Fed to lower rates to a 3.25%-3.50% range next quarter, most likely in June, right after chair Jerome Powell's term ends in May."Apr 21, 2026
© 2026 Improve the News Foundation. All rights reserved.Version 7.4.1
© 2026 Improve the News Foundation.
All rights reserved.
Version 7.4.1