Market analysis: Investors like forecasts of rate cuts this year

Odaily News Analyst R.Burns Mckinney said that investors know that interest rates will not change, but they are focusing on the Fed's forecast for rate cuts between now and the end of the year. The previous dot plot predicted 2 rate cuts, and investors were worried that this forecast would be lowered to 1. However, the Fed maintained its expected rate cuts at 2, and overall, investors liked to see this. However, Powell's comments also indicated that the FOMC raised its estimate of inflation at the end of the year and lowered its guidance for full-year GDP growth. Slower GDP growth may be the reason why the central bank maintained its previous expectations; however, investors are worried that the higher inflation outlook means fewer rate cuts in the future.