PANews reported on November 30 that according to Jinshi, as the US economy grows steadily, concerns about a slowdown in the labor market have been temporarily shelved. The crux of the current debate in the market is how much the Federal Reserve will cut interest rates next year in the absence of significant improvement in inflation data. Matthew Luzzetti, chief US economist at Deutsche Bank, expects the Fed to cut interest rates again in December and then suspend interest rate adjustments throughout 2025, waiting for more progress on inflation. He said: "The (Federal Reserve) has much less urgency to cut interest rates, and it may make sense to slow down the pace of rate cuts earlier than they expected."
In a recent speech, Fed Governor Bowman said progress toward the Fed’s 2% inflation target has “stalled” in recent months, as she called on the central bank to move “cautiously” in cutting interest rates.
