Institutions: The Federal Reserve is expected to cut interest rates only twice next year.

According to a report by Christian Lenk, an analyst at DZ Bank, the Federal Reserve is expected to cut interest rates by 25 basis points in December, followed by more cautious action.

He predicts the Federal Reserve will only cut interest rates twice more, in March and June next year, by 25 basis points each time. DZ Bank expects that despite the Fed's rate cuts, rising inflation will still push up the 10-year US Treasury yield. US inflation is expected to rise in the coming quarters due to the temporary effects of tariffs and the large government deficit. The long end of the yield curve may rise further, but ultimately yields will not deviate too far from current levels. The 10-year US Treasury yield is expected to rise to 4.50% within the next three months (currently 4.103%) and to 4.60% within six months. (Jinshi)