It now looks like once again rates will probably not be cut at the next Fed meeting thanks to the worsening inflation caused by Trump's tarriffs.
https://www.nytimes.com/2025/07/15/business/cpi-report-inflation-june.html
And after posting the above I tried to post a reply and...you guessed it..."start a new conversation" pop up...why waste our time and YOUR time Mod...say be are toast! Thanks for reading
And not only that but they suddenly had one of the most aggressive rate cuts in their history after 4 years of the worst inflation in four decades. They cut them by a full percentage point in three consecutive meetings in a row in September, November and December of 2024 starting off with a completely unexpected and almost unheard of 50bp cut in the September meeting (there was no October meeting). In November the inflation rate was 2.7%. In December it was 2.9%.
This reading is 2.7% and everyone is so sure that they're not going to cut?
It's like everyone knows that somebody at the Fed suddenly flipped a switch a few months ago and they did a 180 in their strategy.
Why were they so eager to cut rates then, and now just a few months later it seems someone could threaten to force them to have to listen to three hours of The Backstreet Boy's greatest hits and they still wouldn't lower rates?