"Bank of America CEO Brian Moynihan Warns of Mortgage Rates Reaching Six to Seven Percent"

Bank of America CEO Brian Moynihan predicts that the tug-of-war between rising consumer prices and wages will reach equilibrium by 2025, with the help of Fed rate cuts. The bank's internal data shows consumer spending leveling off, and Moynihan expects the Fed to start cutting rates later this year, aiming for a Fed funds rate in the 3-to-3.5% range by 2025. He believes consumers will adapt to higher mortgage rates, even though it may take time, as the economy adjusts to a departure from the Fed's longtime 2% rate target.