Global Banks Shape Expectations Following Fed Rate Hike
Following the US Federal Reserve's decision to raise interest rates to the 3.75-4.00 percent range, leading financial institutions announced their new projections.
While the US Federal Reserve increased its policy rate by 25 basis points to the 3.75-4.00 percent range, global giant banks announced their new interest rate forecasts for the upcoming period following the decision.
Fed's Interest Rate Decision
The US Federal Reserve, with a unanimous decision, raised its policy rate by 25 basis points to the 3.75-4.00 percent range.
Year-End Expectations
The newly published projections indicated that the Fed could make one more rate hike during the remainder of 2026.
J.P. Morgan Assessment
J.P. Morgan Asset Management Strategist Tai Hui stated that US interest rates are likely to remain at high levels as they enter 2027.
Morgan Stanley Forecasts
Morgan Stanley expects 25-basis-point rate hikes in December 2026 and then in March 2027 due to persistent inflation.
Goldman Sachs Predictions
Goldman Sachs stated that the most likely date for the Fed's next rate hike is the October meeting.