"Goldman Sachs Revises Forecast: No US Interest Rate Cut Expected in May or June, Only Four in 2024"

Goldman Sachs economists have revised their expectations for Federal Reserve interest rate cuts in 2024, now predicting four cuts instead of five, with the first cut not expected until June. Recent comments from Federal Reserve officials and minutes of the latest policy meeting prompted this shift, indicating a more cautious approach to rate cuts due to strong economic data and concerns about inflation. Goldman expects rate cuts in June, July, September, and December, followed by four more in 2025, while UBS has also adjusted its rate-cut expectations. Futures-market pricing suggests a 20% chance of a rate reduction in May and a 70% chance in June.