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The Fed is determined not to reduce interest rates too soon, experts say — a mistake the central bank has made in the past
The Federal Reserve is in no rush to lower its benchmark rate. Earlier expectations that the central bank was planning multiple cuts before the end of the year seem less likely. On the heels of Friday’s strong jobs report, Wednesday’s consumer price index increased at a faster than expected pace in March. Both suggest that inflation is staying stubbornly higher, which experts say is likely keeping the Fed on the sidelines. Now markets are pricing in less than a 20% chance of a rate cut in June, according to the CME’s FedWatch measure of futures market pricing, down from nearly 80% one month ago. Since the start ... (full story)