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With the Federal Reserve keeping interest rates higher for longer, the debate over when the next rate cut will occur is keeping Wall Street on its toes. Many events on the horizon could affect the Fed as it analyzes economic data, but the upcoming Presidential election could be a big factor.
Deutsche Bank Americas Chief Investment Officer Deepak Puri joins Catalysts to discuss the path for the Federal Reserve to cut rates multiple times and the factors that impact the Fed's decisions.
"Our base case is that we still are going to see one to two rate cuts this year and another one early next year. And I think the rate cuts, it's really the timing that's been pushed back. Now, looking at probably June, July out, September most likely the first month where rate cuts would come into picture, and most likely, post election. You have two Fed meetings post elections, and those could be the live meetings for rate cuts and that's what market needs to factor now in."
For more expert insight and the latest market action, click here to watch this full episode of Catalysts.
This post was written by Nicholas Jacobino