Page 12 - Michael Gapen News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Recent inflation surprises have left the Federal Reserve without sufficient confidence to consider interest rate reductions, prompting a scenario of higher-for-longer interest rates. That’s the insight coming from Bank of America’s U.S. economist Michael Gapen ahead of this week’s Federal Open Market Committee meeting and interest rate decision, due at 2 p.m. ET Wednesday. With no immediate changes in interest rates anticipated, the focus shifts to the Fed’s future policy actions, particularly r

Bank of America predicts Fed will not cut interest rates until December 2024, due to recent inflation surprises and a slower pace of disinflation.

WASHINGTON -- Growth in the nation's economy slowed sharply last quarter to a 1.6% annual pace in the face of high interest rates, but consumers -- the main driver of the economy -- kept spending at a solid pace.

WASHINGTON -- Growth in the nation's economy slowed sharply last quarter to a 1.6% annual pace in the face of high interest rates, but consumers -- the main driver of the economy -- kept spending at a solid pace.

PCE price index surpasses projections, reaching 2.7% annually in March. Economists offer insights on potential Fed actions, with some expecting a wait-and-see approach and only one rate cut in 2024.