TRUMP 2

The US Federal Reserve started to cut interest rates this year, a reflection of the success achieved in moderating US inflation and also in recognition of the potential emerging risks of its restrictive policy to the US labour market.

While US interest rates are still expected to decline into 2025, it is notable that the number of interest rates cuts expected by the market has been significantly reduced in recent weeks, a consequence potentially of the likely growth (and inflationary) impact of US government policies on trade (tariffs), de-regulation and immigration under a Trump 2.0 administration.

source: Goodbody