Natixis expects the Federal Reserve to keep interest rates unchanged throughout 2026
2026-07-16 06:58
Odaily Planet Daily News: Christopher Hodge, former chief economist of the New York Fed and current chief US economist at Natixis, stated that Fed Chairman Warsh's strongly hawkish stance could create a "credibility trap." Hodge noted that Warsh's aversion to "forward guidance" and the "dot plot" is reasonable in the current uncertain environment, but also reveals a risk tendency. If CPI data in the coming months is disrupted by short-term factors such as tariffs or energy shocks, Warsh may be forced to raise interest rates due to his previous stance. Natixis expects the Federal Reserve to keep interest rates unchanged throughout 2026.
