IMF: The Federal Reserve has limited room for interest rate cuts in 2026, and the likelihood of rate cuts in the coming year is low

By: rootdata|2026/04/02 22:42:01
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According to Jinshi reports, the International Monetary Fund stated that although U.S. inflation is expected to fall to the Federal Reserve's 2% target in the first half of next year, policymakers have little room for interest rate cuts this year. IMF staff anticipate that there may be only one opportunity for a rate cut by the end of 2026. An IMF executive director pointed out that considering the rise in energy prices and the transmission effects of core inflation, the room for rate cuts in 2026 is limited, which may further delay the achievement of the inflation target.

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