Bank of America CEO Expects Three Consecutive Rate Cuts by Fed in September, October, and December

Odaily News, Bank of America CEO Brian Moynihan reiterated that the bank expects the Federal Reserve to cut interest rates three times in a row in September, October, and December.

Moynihan stated that the U.S. job market remains strong, but inflation still needs to decline further, leaving room for the Fed to adjust monetary policy going forward. He also noted that consumption trends across different income groups in the U.S. are gradually converging, which is a positive signal of improving economic health.

Previously, Bank of America's economics team had already anticipated that the Fed would begin its rate-cutting cycle in the second half of this year. The market is currently keeping a close eye on employment data, inflation trends, and consumer spending to gauge the pace of the Fed's policy adjustments.

If the Fed follows through with consecutive rate cuts as expected, it could further lower financing costs and provide support to stock, bond, and risk asset markets.