"Goldman Sachs predicts 5 rate cuts in 2024 as cooling inflation prompts Fed action"

Goldman Sachs predicts that the Federal Reserve will cut interest rates five times in 2024 due to cooling inflation. The bank's chief economist, Jan Hatzius, believes that the world economy has entered a period of "Great Disinflation," allowing policymakers to start reducing borrowing costs in early 2024. Goldman Sachs forecasts three consecutive 25-basis-point rate cuts between March and June, followed by two more in the second half of the year. This outlook follows Federal Reserve Chair Jerome Powell's dovish comments, which sparked a stock-market rally and raised expectations of earlier and more aggressive rate cuts.