Morgan Stanley Pushes U.S. Fed Rate Cut Forecast to September 🇺🇸

Morgan Stanley has revised its forecast for when the U.S. Federal Reserve will begin lowering interest rates, now expecting the cuts to start in September instead of the previously anticipated July. The brokerage continues to foresee three 25-basis-point rate cuts over the course of the year. According to Morgan Stanley, while certain key components indicate disinflation ahead, the lack of progress in recent months means it will take longer for the Federal Open Market Committee (FOMC) to gain confidence in making the first move towards reducing rates.