Will The Fed Cut Interest Rates In Jan 2025 Predictions

Will The Fed Cut Interest Rates In Jan 2025 Predictions. As of late december, markets saw a roughly 89% chance that the fed will hold rates steady at its next meeting in january, according to the cme fedwatch tool. 18, 2024, the federal open market committee (fomc) cut the federal funds rate by 25 basis points (bps) to 4.25% to 4.5%, the third straight rate cut last year.

Here’s what fed officials say could happen to interest rates in 2025. There are two motivations for the federal open market committee to cut rates.