Citi Delays Fed Rate-Cut Forecast to June 2027 Amid Strong Job Market
Source Summary
Citi has pushed back its forecast for the first Federal Reserve interest rate cut to June 2027, citing the resilience of the U.S. jobs market. The revision reflects expectations that strong employment data will keep inflation pressures elevated, prompting the Fed to maintain higher rates for longer.
Why it matters
Citi's revised forecast signals that persistent labor market strength is expected to delay monetary policy easing, affecting borrowing costs and investment decisions across the economy.
